H-1B visa fee hike: Amid confusion, White House clarifies it won’t apply to existing holders, renewals

Washington: President Donald Trump’s latest plan to overhaul the American immigration system has left immigrant workers confused, prompting the White House on Saturday to clarify that a new $100,000 fee on visas for skilled tech workers applies only to new applicants and not to current visa holders.

On Friday, Trump, with Commerce Secretary Howard Lutnick by his side, signed a proclamation introducing the fee for H-1B visas — designed for high-skilled jobs that tech firms struggle to fill.

“Those who already hold H-1B visas and are currently outside of the country right now will NOT be charged $100,000 to re-enter,” White House press secretary Karoline Leavitt said in a post on X. “This applies only to new visas, not renewals, and not current visa holders.”

The fee takes effect at 12:01 a.m. ET Sunday and is scheduled to expire after a year, though it could be extended if the government decides it serves American interests.

The White House also clarified online that the rule “does not impact the ability of any current visa holder to travel to/from the U.S.”

Attorneys warn of chaos

Immigration attorneys argued the plan threatens to disrupt lives and destabilise business. Kathleen Campbell Walker, an immigration attorney with Dickinson Wright in El Paso, Texas, wrote on LinkedIn that the decision “inserts total chaos in existing H-1B process with basically a day’s notice.”

Lutnick told reporters on Friday the fee would be an annual cost for companies. But a White House official, speaking anonymously, later said it is a “one-time fee,” adding that while it currently does not apply to renewals, “that policy is under discussion.”

India voices concern

India’s government expressed concern that the Trump administration’s move would sharply raise visa fees affecting tech workers. The Ministry of External Affairs said the plan “was being studied by all concerned, including by Indian industry,” warning it could cause “humanitarian consequences by way of the disruption caused for families.”

More than 70% of H-1B visa holders are from India.

Gold and platinum visas unveiled

Alongside the H-1B fee, Trump announced a $1 million “gold card” visa with a path to U.S. citizenship. For companies sponsoring an employee, the cost will be $2 million.

A “Trump Platinum Card” priced at $5 million will allow foreigners to spend up to 270 days in the U.S. without paying taxes on non-U.S. income. These gold and platinum visas, Lutnick said, would replace employment-based visas for professors, scientists, artists and athletes.

Tech firms and business react

The U.S. Chamber of Commerce said: “We’re concerned about the impact on employees, their families and American employers. We’re working with the Administration and our members to understand the full implications and the best path forward.”

Lutnick predicted fewer H-1B applications than the 85,000 annual cap allows because “it’s just not economic anymore.” He said: “If you have a very sophisticated engineer and you want to bring them in … then you can pay $100,000 a year for your H-1B visa.”

Trump insisted tech companies would not oppose the move. But representatives from Amazon, Apple, Google and Meta did not respond, and Microsoft declined to comment.

Support and legal challenges

Critics of H-1Bs welcomed the change. Advocacy group U.S. Tech Workers called it “the next best thing” to abolishing the visas altogether.

But Doug Rand, former U.S. Citizenship and Immigration Services official under Biden, dismissed the plan as “ludicrously lawless.” He said: “This isn’t real policy — it’s fan service for immigration restrictionists. Trump gets his headlines, and inflicts a jolt of panic, and doesn’t care whether this survives first contact with the courts.”

Lutnick added that while the president could introduce H-1B fees and gold cards, the platinum card requires congressional approval.

Wider implications of H-1B

H-1B visas, requiring at least a bachelor’s degree, are intended for high-skilled jobs but critics argue they undercut U.S. workers, with many earning as little as $60,000 compared to American tech salaries exceeding $100,000.

Historically awarded through a lottery, this year Amazon received over 10,000 H-1B visas, followed by Tata Consultancy, Microsoft, Apple and Google. California hosts the largest number of H-1B workers.

Critics also argue that many visas go to entry-level roles, enabling firms to cut wages. Companies often contract out help desks and programming to consulting firms like Wipro, Infosys, HCL Technologies, Tata, IBM and Cognizant, which hire workers — often from India — and supply them to U.S. employers at lower cost.