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The Trump administration proposed a sharp increase in the H-1B visa fee, with the US Department of Homeland Security (DHS) seeking a USD 103,265 charge for certain H-1B petitions. The proposal could significantly increase costs for US employers hiring highly skilled foreign workers, with Indian professionals likely to be among the most affected.
The proposed regulation will remain open to public comment for 30 days. The administration said the fee would help cover immigration system costs and encourage employers to hire and train American workers rather than rely on foreign labor.
The H-1B program allows US employers to hire foreign professionals for specialized occupations and has traditionally been widely used by technology companies.
According to data cited in reports, the US Citizenship and Immigration Services approved 399,402 H-1B petitions in 2024, with Indian-born beneficiaries accounting for 71 percent of them.
The proposed fee could therefore have a significant impact on Indian technology professionals and companies that continue to use the H-1B program for specialized talent.
Also Read: US Federal Judge Blocks Trump's $100,000 H-1B Visa Fee, Calls it ‘Unlawful Tax’
Nasscom said the H-1B program played an important role in addressing short-term skill gaps in the US. It also highlighted the significant shift towards local hiring by Indian technology companies.
“The H-1B visa program has long served an important purpose in addressing short-term skill gaps in the US. It is also important to recognize that, over the past 5 years, the number of H-1B employees of Indian technology companies operating in the US has reduced significantly, as companies have steadily expanded local hiring,” Nasscom said.
The industry body added that Indian technology companies have invested substantially in developing the US workforce.
“The industry has also spent more than USD 1.1 bn for strengthening the STEM pipeline in the US, working with more than 130 Universities and colleges in the US, impacting 2.9 mn students and upskilling more than 255,000 employees,” it said.
Nasscom said the proposed increase should be considered in the context of the H-1B program’s original purpose.
“A proposed increase in visa fees must therefore be viewed in the context of the program’s original purpose of enabling access to temporary skills where there is a shortage in the US,” it said.
The proposed USD 103,265 charge would represent a substantial additional cost for employers sponsoring H-1B workers. This could affect hiring decisions across sectors, particularly technology companies that depend on specialized skills.
The proposed rule follows the Trump administration’s introduction of a temporary USD 100,000 H-1B fee, which has faced legal challenges. The new DHS proposal seeks to establish a higher fee framework, while the administration continues to review broader changes to the US immigration system.
For Indian professionals and technology companies, the proposal could add another layer of uncertainty to an already closely watched H-1B program.
