The Donald Trump administration has proposed a new $103,265 fee for US employers seeking to hire foreign workers through the H-1B skilled-worker visa programme, arguing that the charge would help cover the cost of administering the country’s immigration system.
The Department of Homeland Security (DHS) said in its proposed rule that the fee would serve as a “revenue mechanism” to recover costs incurred by agencies including US Citizenship and Immigration Services (USCIS), Customs and Border Protection (CBP) and Immigration and Customs Enforcement (ICE).
The proposal comes after the administration faced legal challenges over an earlier attempt to impose a $100,000 H-1B fee.
In September 2025, Trump issued a presidential proclamation introducing the $100,000 fee, arguing that the H-1B programme was being exploited to replace rather than supplement American workers.
However, a federal judge blocked the order in June, siding with 20 Democratic-led states that argued the fee amounted to an unlawful tax imposed without congressional authority.
Another federal judge had upheld the same action in December 2025, ruling that the president had broad statutory authority to respond to what he viewed as an economic and national security problem. That decision is currently being appealed.
Under the new proposal, the administration is placing greater emphasis on recovering immigration-related administrative costs. However, DHS also acknowledged that the proposed fee could discourage companies from hiring foreign workers when qualified American workers are available.
“US employers… would be less likely to hire an H-1B worker over a qualified and highly-skilled American.”
The administration said the proposed $103,265 payment would come on top of other applicable fees, including the earlier $100,000 charge if that measure ultimately survives its ongoing legal challenge.
The H-1B programme was created by Congress in 1990, and the United States currently issues 85,000 H-1B visas annually.
The programme has been used by major technology companies and has previously been held by prominent executives, including Elon Musk and Google CEO Sundar Pichai.
Critics of the proposed fee have warned that making H-1B hiring significantly more expensive could worsen shortages in critical sectors, including medicine, engineering and science.
Source: US Department of Homeland Security / AFP.
