The replacement of American tech workers by foreigners on H-1B visas has become a growing political issue – with the criticism coming mostly from the right.
Today Trump signed a Declaration raising the fee charged to employers from $1000 to $100,000 annually – making it more costly to replace American workers. CBS News reports:
The Trump administration is adding $100,000 to the existing fee for H-1B visa applications, taking aim at a program that is used to attract highly skilled workers to the U.S.President Trump signed an executive order late Friday adding the new visa application fee and barring H-1B workers from entering the U.S. unless they had made the $100,000 payment.”We’re going to be able to keep people in our country that are going to be very productive people, and in many cases these companies are going to pay a lot of money for that, and they’re very happy about it,” Mr. Trump said.The additional charge would impact employers including technology giants such as Amazon, IBM, Microsoft and Google, which have relied on the program to hire foreign workers.
The Executive Order, called a Proclamation, says in part:
The abuse of the H-1B program is also a national security threat. Domestic law enforcement agencies have identified and investigated H-1B-reliant outsourcing companies for engaging in visa fraud, conspiracy to launder money, conspiracy under the Racketeer Influenced and Corrupt Organizations Act, and other illicit activities to encourage foreign workers to come to the United States.Further, abuses of the H-1B program present a national security threat by discouraging Americans from pursuing careers in science and technology, risking American leadership in these fields. A 2017 study showed that wages for American computer scientists would have been 2.6 percent to 5.1 percent higher and employment in computer science for American workers would have been 6.1 percent to 10.8 percent higher in 2001 absent the importation of foreign workers into the computer science field.It is therefore necessary to impose higher costs on companies seeking to use the H-1B program in order to address the abuse of that program while still permitting companies to hire the best of the best temporary foreign workers.
The Hindu newspaper in India noted the potential impact:
In a move that could adversely impact Indian professionals on visas in the U.S., President Donald Trump on Friday (September 19, 2025) signed a proclamation that will raise the fee for H1-B visas to a staggering $1,00,000 annually, the latest in the administration’s efforts to crack down on immigration….H-1B visas are meant to bring the best and brightest foreigners for high-skilled jobs that tech companies find difficult to fill with qualified U.S. citizens and permanent residents. The programme instead has turned into a pipeline for overseas workers who are often willing to work for as little as $60,000 annually. That is far less than $100,000-plus salaries typically paid to U.S. technology workers….Historically, these visas — 85,000 per year — have been doled out through a lottery system. This year, Amazon was by far the top recipient of H-1B visas with more than 10,000 awarded, followed by Tata Consultancy, Microsoft, Apple and Google. Geographically, California has the highest number of H-1B workers, according to the U.S. Citizenship and Immigration Services.Critics say H-1B spots often go to entry-level jobs, rather than senior positions with unique skill requirements.
At the same time, Trump signed an Executive Order establishing a “Gold Card” visa system:
Sec. 2. The Gold Card. (a) The Secretary of Commerce, in coordination with the Secretary of State and the Secretary of Homeland Security, shall establish a “Gold Card” program authorizing an alien who makes an unrestricted gift to the Department of Commerce under 15 U.S.C. 1522 (or for whom a corporation or similar entity makes such a gift) to establish eligibility for an immigrant visa using an expedited process, to the extent consistent with law and public safety and national security concerns. The requisite gift amount shall be $1 million for an individual donating on his or her own behalf and $2 million for a corporation or similar entity donating on behalf of an individual.
The fee apparently is one time, not annual. When I read the Proclamation I didn’t read it as annual, but in the video above it was described as annual, so I thought perhaps I missed something, and went with that. I should have stuck to my own reading. Now the White House has clarified it’s a one-time fee, not annual. The headline has been adjusted accordingly.
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