What's happened
The White House announced a new proclamation requiring employers to pay a $100,000 fee for H-1B visa applications, effective September 21, 2025. Major tech firms advised employees to stay in the US or return before the deadline to avoid disruptions. The fee applies only to new applications, not renewals.
What's behind the headline?
The new H-1B fee and travel restrictions signal a significant shift in US immigration policy, emphasizing economic nationalism. Major tech firms' internal advisories reveal the potential for widespread disruption, as visa holders are urged to remain in the US or return before the deadline. This move will likely reduce the number of foreign skilled workers entering the US, impacting innovation and global competitiveness. The policy appears designed to favor domestic hiring, but it risks alienating key talent pools and damaging the reputation of the US as a destination for global tech talent. The White House's claim that existing visa holders are unaffected may underestimate the practical challenges and uncertainties faced by visa-dependent workers and their employers. Overall, this policy will likely accelerate the reshaping of the US tech workforce, favoring American workers but possibly at the cost of innovation and economic growth.
What the papers say
The articles from TechCrunch and Business Insider UK provide detailed insights into the immediate effects of the proclamation, including internal memos from Amazon, Microsoft, and Google advising employees. TechCrunch highlights the government's rationale and the potential disruption to the tech sector, quoting officials and company responses. Business Insider UK emphasizes the practical advice given to employees and the broader implications for the US tech industry, noting the reliance on H-1B visas by firms like JPMorgan and Meta. Both sources underscore the policy's focus on prioritizing highly valuable foreign workers and the administrative burden it imposes. Contrasting opinions are limited, but TechCrunch's focus on the policy's implications for the tech sector and Business Insider's emphasis on employee advisories together paint a comprehensive picture of the immediate impact and strategic considerations.
How we got here
The US government has been scrutinizing the H-1B visa program, which is heavily used by tech companies to hire skilled foreign workers. The recent proclamation, signed by President Trump, introduces a $100,000 fee for new H-1B applications, aiming to prioritize highly valuable foreign workers and encourage companies to train Americans. This move follows ongoing debates about immigration policy and economic protectionism, especially amid a tight labor market for tech talent. Major firms like Amazon, Microsoft, and Google have historically been top sponsors of H-1B visas, with the program playing a critical role in their talent acquisition strategies.
Go deeper
Common question
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Why Has the US Introduced a $100K Fee for H-1B Visas?
The US government has recently announced a significant increase in the cost of applying for H-1B visas, with a new fee of $100,000 for employers. This move has sparked widespread questions about its purpose, impact on the tech industry, and broader immigration policies. Below, we explore the reasons behind this change and what it means for foreign workers and US companies alike.
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Donald John Trump is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021.
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Amazon.com, Inc., is an American multinational technology company based in Seattle, Washington. Amazon focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence.
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Microsoft Corporation is an American multinational technology company with headquarters in Redmond, Washington. It develops, manufactures, licenses, supports, and sells computer software, consumer electronics, personal computers, and related services.
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Google LLC is an American multinational technology company that specializes in Internet-related services and products, which include online advertising technologies, a search engine, cloud computing, software, and hardware.
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The H-1B is a classification of non-immigrant visa in the United States that allows U.S. employers to hire foreign workers in specialty occupations, as well as fashion models, or persons who are engaged in Department of Defense projects who meet certain..