Washington, Sept 25: The Trump administration’s decision to impose a $100,000 fee on new H-1B visa applications could reduce immigrant work authorisations in the US by over 66,000 annually, according to an analysis by JPMorgan Chase & Co economists, Bloomberg reported. A separate expert warned that this fee hike, intended to prevent “program misuse” and prioritise American workers, could effectively dismantle the H-1B system, potentially eliminating up to 140,000 new jobs each year in US companies that rely on skilled foreign talent.Indian workers, who make up the majority of H-1B visa recipients, are expected to be hit the hardest by this policy change, given that about 71% of H-1B approvals in fiscal year 2024 were granted to Indian nationals, particularly in technology-related fields.
While the reduction may appear modest in the context of the broader US labour market, the impact is expected to be disproportionately felt by technology companies and Indian professionals, who dominate the H-1B talent pool, according to the report.
The study was issued days after US President Donald Trump signed an executive order raising a $100,000 fee for H-1B visa applications, a sharp increase from the previous fee range of $215 to $5,000, depending on the company size.
The new policy seeks to prevent what the administration calls “program misuse,” guaranteeing that only highly skilled foreign workers are chosen and urging companies to give preference to American workers.