The H-1B visa program, established by the U.S. Congress in 1990, allows companies to hire skilled foreign professionals primarily in science, technology, engineering, and mathematics (STEM) fields when qualified American workers are unavailable. H-1B visas are typically valid for three years and can be extended, with many visa holders eventually receiving green cards.
Trump Administration’s $100,000 Fee
In a recent move, President Donald Trump introduced a $100,000 fee for new H-1B visa applicants. According to Commerce Secretary Howard Lutnick, the fee is intended to prevent companies from “training foreign workers” instead of hiring Americans. The fee has generated confusion: while Lutnick suggested it is annual, the White House later clarified it would be a one-time charge.
Who Are the H-1B Workers?
Each year, 65,000 H-1B visas are available for bachelor’s degree holders and 20,000 for master’s degree or higher. Universities and research organizations are exempt. Many H-1B holders work in technology, including at Amazon, Google, Meta, Microsoft, Apple, and IBM. A large majority come from India. Dependents of visa holders can accompany them on dependent visas.
Criticism and Concerns
Some Republicans argue H-1B visas allow companies to hire foreign workers at lower wages than Americans, potentially replacing domestic employees. However, tech industry leaders often Trump supporters—contend that H-1B workers fill critical talent gaps that U.S. workers cannot meet.
Impact on the Tech Sector
The new fee is expected to particularly affect tech companies reliant on H-1B talent. Critics also highlight potential humanitarian consequences for families of visa holders, who may face financial burdens due to the sudden fee.
Key Takeaways
- H-1B visas are crucial for filling specialized roles in the U.S., especially in tech.
- Trump’s $100,000 fee aims to prioritize American workers but has sparked industry confusion.
- The move may disrupt hiring and affect thousands of skilled professionals, predominantly from India.
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