Washington, September 21, 2025 – The Trump administration has once again stirred debate by announcing a sharp increase in the filing fees for new H1B visa petitions. In a move framed as a measure to protect American jobs, the White House on Saturday released an official “fact sheet” outlining the justification for imposing a hefty US $100,000 (₹88 lakh approx.) fee on new H1B visa applications.
According to the administration, the new fee is designed to curb the unchecked expansion of foreign employment in the U.S. technology sector and ensure that domestic workers are not unfairly displaced. President Donald Trump’s team argued that American graduates, especially in computer science and engineering, face higher unemployment rates than their peers in other disciplines – a trend they directly link to the surge in foreign workers entering through the H1B program.
IT Sector Dominated by H1B Workers
The fact sheet revealed a significant transformation in the U.S. workforce landscape. In 2003, foreign employees on H1B visas made up just 32% of IT sector jobs. Today, that figure has crossed 65%, underscoring the growing reliance of American tech companies on international talent.
Meanwhile, the unemployment rate for U.S.-born graduates in computer science and engineering stands at 6.1% and 7.5%, respectively – nearly double the rate for graduates in other disciplines. The administration noted that between 2000 and 2019, the number of foreign STEM graduates doubled, while overall STEM employment increased by only 44.5%, intensifying the competition for limited jobs.
Layoffs vs. Hiring of H1B Workers
The White House also cited troubling examples of leading technology companies that, while expanding their H1B hiring, laid off thousands of American employees.
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One company was approved 5,189 H1B visas in 2025, but cut 16,000 U.S. jobs this year.
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Another firm secured 1,698 H1B approvals, while eliminating 2,400 domestic employees in July.
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A third company has reportedly slashed 27,000 American jobs since 2022, even as it received 25,075 H1B visas during the same period.
Officials stressed that such patterns highlight the urgent need for reform to ensure American workers are prioritized in their own job market.
Trump vs. Biden on Employment
The administration framed the decision as a continuation of President Trump’s commitment to “America First” policies. According to the White House, under Trump’s leadership, most newly created jobs are going to U.S.-born employees. By contrast, they argue that during Joe Biden’s presidency, the majority of employment opportunities were filled by foreign nationals, largely through the H1B program.
This latest move is thus positioned as part of Trump’s broader effort to safeguard American workers and address what the administration calls a “broken system.”
Anxiety Among Indian Workers
The announcement has sent shockwaves through the Indian community in the United States. Between October 2022 and September 2023, around 400,000 H1B visas were issued, with 72% going to Indian nationals. The steep hike in fees has sparked widespread anxiety among Indian IT professionals, many of whom are central to the U.S. tech industry.
Reports suggest that some Indian workers in the U.S. canceled last-minute travel plans to India, fearing complications with their visa status. Others currently in India are rushing to return to America before the new rules take effect.
Applicable Only to New Applications
In an effort to calm concerns, the administration clarified that the $100,000 fee will apply only to new H1B visa petitions filed after September 21, 2025. Existing H1B holders will not be required to pay additional fees, nor will returning workers with valid visas face extra charges upon re-entry.
Nonetheless, the decision has ignited debates among lawmakers, industry leaders, and immigrant advocacy groups, with critics arguing that the move could hurt America’s competitiveness by discouraging top global talent from coming to the U.S.
As the September 21 deadline approaches, the issue of H1B visa reform has once again become a flashpoint in U.S. politics – raising questions about whether higher fees will truly protect American jobs or instead undermine the innovation ecosystem that depends on skilled foreign professionals.
Also read – H1B Visa 2025: Major Policy Shifts Spark Uncertainty for Indian Tech Workers in the U.S.