H-1B visa fee hike backed by White House as fraud concerns rise

Washington: The Trump administration is preparing to defend a new $100,000 H-1B visa fee in court, after multiple lawsuits were filed challenging the policy. The fee, aimed at new visa applicants, has sparked opposition from the US Chamber of Commerce and a coalition of unions, employers, and religious organisations.

White House Press Secretary Karoline Leavitt said on Thursday the administration would vigorously contest the legal challenges, arguing the fee is necessary to protect American workers and prevent fraud in the H-1B system.

“The administration will fight these lawsuits in court. The president's main priority has always been to put American workers first and to strengthen our visa system. For far too long, the H-1B visa system has been spammed with fraud, and that's driven down American wages. So the president wants to refine this system, which is part of the reason he implemented these new policies. These actions are lawful, they are necessary, and we'll continue to fight this battle in court,” Leavitt told reporters.

The US Chamber of Commerce has filed a lawsuit claiming the fee is unlawful, arguing it exceeds the actual cost of processing H-1B applications and contravenes the Immigration and Nationality Act.

“The new $100,000 visa fee will make it cost-prohibitive for US employers, especially start-ups and small and midsize businesses, to utilize the H-1B program, which Congress created expressly to ensure that American businesses of all sizes can access the global talent they need to grow their operations here in the US,” said Neil Bradley, Executive Vice President and Chief Policy Officer at the Chamber.

Bradley added that while Trump’s broader economic policies have encouraged investment, the new fee could hinder companies from hiring the workers they need.

A coalition of unions, educators, and religious groups has also filed a separate lawsuit, describing the fee as “arbitrary and capricious.”

The H-1B visa programme allows US firms to hire highly skilled foreign workers. The proposed $100,000 annual fee represents a sharp increase from current H-1B processing costs of a few thousand dollars, in addition to existing vetting charges. The administration is still deciding whether to collect the full fee upfront or annually.

The technology sector is expected to be heavily impacted, particularly Indian IT professionals, who form the largest group of H-1B recipients. Major companies, including Amazon, Microsoft, and Google, may be forced to scale back or reconsider their use of the programme if the fee is enforced.

The lawsuits are pending in federal courts in California and Washington, D.C., and are likely to shape the future of H-1B visa policy in the US.