The $100,000 H-1B Visa Fee: A Game-Changer or a Risky Gamble?

Unemployment in the United States has climbed to its highest level since 2021, and job growth has slowed sharply. Against this backdrop, the Trump administration has unveiled a dramatic shift in America’s immigration policy: a mandatory $100,000 fee for every new H-1B visa application, effective immediately.

For decades, the H-1B visa programme has been a gateway for highly skilled foreign professionals, particularly in technology, healthcare, and research, helping companies fill critical shortages and drive innovation. Until now, the cost of applying ranged from $1,700 to $4,500 per worker. The sudden leap to $100,000 has stunned employers, employees, and students alike.

What’s changing?

• A $100,000 one-time fee for all new H-1B visa petitions filed after 21 September 2025.

• The lottery system may be replaced with a weighted process favouring higher-paying positions.

• Existing H-1B holders and renewals are exempt, but confusion around travel and status has already disrupted global businesses.

The administration’s goal: to ensure that only the “best of the best” foreign professionals are hired, while encouraging firms to pay higher wages and prioritise American workers.

The potential risks:

• Talent shortages – Two-thirds of H-1B roles are in STEM fields, where US supply is already thin. Tech firms, hospitals, and universities may struggle to recruit the talent they need.

• Brain drain – Highly skilled immigrants could redirect their expertise to more welcoming countries such as the UK, Italy, or China, all of which are actively opening doors to global talent.

• Slower growth – By raising barriers to foreign professionals, the US risks weakening innovation-driven industries at a time when productivity gains are critical for economic growth.

The bigger picture: While the White House hopes the policy will lift wages and boost hiring of US graduates, many economists argue it does little to solve the root issue: America’s domestic talent pipeline. High education costs and weak STEM rankings leave the US producing fewer engineers than global peers, forcing companies to lean heavily on foreign professionals.

Bottom line: The $100,000 H-1B fee could reshape America’s labour market, but whether it strengthens or undermines the economy will depend on how businesses, universities, and foreign talent respond and on whether other nations seize the opportunity to attract the skills the US is now pricing out.