US President Donald Trump has introduced a major change to the H-1B visa program, imposing a $100,000 fee for companies that sponsor foreign workers. This move is part of his effort to limit immigration and prioritize American workers. The change will significantly affect Indians, who make up the majority of H-1B visa holders.
What is the H-1B Visa?
The H-1B visa is a temporary US work visa. It allows American companies to hire foreign professionals with special skills, usually in fields like science, technology, engineering, and mathematics (STEM). The visa was created in 1990 to fill jobs that are hard to find qualified American workers for.
The visa is usually granted for three years and can be extended to six years. People applying for permanent residency, or a Green Card, can renew it until their Green Card is approved. To apply, candidates must register online with the US Citizenship and Immigration Services (USCIS), and a lottery system randomly selects applicants when demand is high.
The H-1B visa guarantees equal pay and working conditions similar to American employees in the same position.
Why the Fee is Being Introduced
Trump and his team argue that the H-1B visa program has been abused. Some companies hire cheaper foreign workers instead of American employees.
White House staff secretary Will Scharf said, “This new fee will make sure that companies only bring in people who are truly very skilled and cannot be replaced by American workers.” Trump added that the measure ensures that only the most talented workers will come to the US.
Impact on Indians
Indians are the largest group of H-1B visa holders. Last year, 71% of all approved H-1B visas went to Indian nationals, while China was second at 11.7%. Major US tech companies such as Amazon, Microsoft, and Meta rely heavily on Indian talent. For example, Amazon’s cloud division, AWS, received over 12,000 H-1B visa approvals in the first half of 2025, and Microsoft and Meta had over 5,000 each.
The $100,000 fee will create financial challenges for Indian workers and the companies that hire them. Even if Indians try to apply for a Green Card, the process takes years, and in the meantime, they would need to renew their visas multiple times, paying over Rs 88 lakh each time.
New Citizenship Test and Gold Card Visa
Trump’s administration is also making the US citizenship test more difficult. Applicants will need to study 128 questions on US history and politics and answer 12 out of 20 questions correctly in an oral test.
Trump also signed an executive order for a “Gold Card” visa program. This program allows only top-level individuals to enter the US, charging $1 million for individuals and $2 million for businesses. The goal is to bring in people who can create jobs and businesses in the US.
Trump criticized the current employment-based Green Card program, saying it allowed low-income people to enter the US while taking government support. He emphasized that the new rules will prioritize “extraordinary” talent who can contribute significantly to the US economy.
What This Means for the Tech Sector
The new rules will affect the US technology industry heavily. Indian IT professionals have played a key role in American tech companies for decades. With the $100,000 fee, some smaller companies may find it too expensive to hire foreign talent, which could slow down innovation and growth.
Supporters argue that the changes will open opportunities for American workers who were previously overlooked, ensuring that high-paying tech jobs go first to US citizens.
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