The Trump administration has proposed a $103,265 (£76,970) fee for employers seeking skilled foreign workers through the H-1B visa programme, creating a major potential change for companies that rely on international talent.
The Department of Homeland Security says the proposed fee would apply to H-1B petitions subject to the annual cap, including petitions eligible for the advanced-degree exemption. The money would be used to recover the costs of running the US immigration system, according to the proposal.
The proposal follows the administration's earlier attempt to impose a $100,000 (£74,532) fee through a presidential proclamation. A federal judge struck down that measure in June, ruling that the president had imposed an illegal tax without congressional approval. The administration appealed, but its request to pause the ruling was denied in late July.
The H-1B programme was created by Congress in 1990 and allows employers to hire foreign workers in specialised occupations. It provides 65,000 visas annually, with another 20,000 available for workers with advanced degrees from US universities.
The administration argues that H-1B workers can displace American employees and that the current system does not sufficiently prioritise highly skilled workers. The proposed regulation says the new fee would make employers less likely to hire an H-1B worker when a qualified American is available.
Why Tech Companies Face the Biggest Impact
The technology sector is particularly exposed because software development is by far the largest occupation recorded in the Department of Labor's H-1B labour certification data.
In fiscal year 2025, the Department of Labor recorded 286,287 certified positions for software developers, representing 31.4% of certified H-1B and H-1B1 and E-3 positions. Computer systems engineers and architects accounted for another 33,822 positions, or 3.7%.
The figures provide a clear measure of how heavily the H-1B system is used for technology-related work. The Department of Labor's data also list other technology occupations among the leading categories, including computer systems analysts and electronics engineers.
The Department of Labor describes the H-1B programme as a route for US employers to hire non-immigrant workers in specialty occupations. Employers must also meet wage requirements, with H-1B workers generally required to receive the higher of the prevailing wage or the actual wage paid to comparable employees.
The proposed fee would therefore affect an industry already responsible for a large share of H-1B-related positions. The White House and DHS say the additional cost is intended to encourage employers to hire qualified American workers instead, while technology companies and other employers argue that the programme helps them fill specialised roles.
The scale of the proposed charge is also notable. Reuters reported that the new fee would represent a sharp increase from the previous $2,000 (£1,491) to $5,000 (£3,727) range associated with H-1B applications, depending on the circumstances.
Amazon's use of the programme illustrates the potential exposure for major technology employers. According to the information provided, Amazon had more than 9,300 approved H-1B petitions in fiscal year 2026 through 30 June.
A New Legal Route After Court Defeat
The proposed rule comes directly after the administration's legal defeat over its previous $100,000 (£74,532) charge. Judge Leo T. Sorokin of the US District Court for Massachusetts ruled in June that the earlier fee exceeded presidential authority.
The administration subsequently appealed, but the court declined to pause the ruling while the appeal proceeded.
The new proposal seeks a different legal route by establishing the fee through federal regulation. DHS says the revenue would help fund the operation of the immigration system, including immigration courts and other federal immigration functions.
For technology companies, the hard numbers show why the proposal matters. Software developers alone accounted for more than 286,000 certified positions in the Department of Labor's fiscal year 2025 data, while other computer and engineering occupations also made up thousands more.
The $103,265 (£76,970) charge is not yet in effect. It remains a proposed rule and must go through the federal rulemaking process before it can become a permanent fee.
