By Marjan Kasra
On September 19, 2025, President Donald Trump announced a proclamation requiring a $100,000 fee for H-1B petitions filed for workers outside the United States. The measure took effect on Sept. 21 and will remain in place for twelve months, through Sept. 20, 2026.
While the program itself has not been eliminated, the announcement immediately caused agitation across industries, especially in technology, research, engineering, and healthcare, which rely heavily on foreign talent.
Initial confusion led to clarifications by U.S. government
The proclamation created significant confusion, as employers and attorneys were unsure whether the fee applied to workers already holding H-1B status, whether extensions or transfers would trigger the charge, and whether international travel was still considered safe. For two days, the lack of clear guidance left many with more questions than answers.
On September 20, the United States Citizenship and Immigration Service (USCIS) issued a memorandum clarifying some key points. The agency confirmed that the $100,000 requirement applies only to new H-1B petitions filed on or after September 21. Petitions filed before that date and those that have already been approved are not affected. The guidance did not fully resolve whether extensions or employer transfers will eventually be subject to the new fee, but it eased immediate fears that existing approvals could be undone.
When the fee became effective on Sept. 21, concerns shifted to travel. Existing H-1B visas were not revoked, and holders remain eligible to enter and reenter the United States. Nevertheless, many attorneys advised caution for those traveling internationally until the rule has been consistently applied at ports of entry.
By Sept. 22, the situation became clearer. The government confirmed that the policy is in place for twelve months, ending Sept. 20, 2026, unless extended. The Department of Labor announced its intention to raise prevailing wage levels for H-1B positions, and the Department of Homeland Security signaled that it may adjust the lottery to prioritize higher-skilled and higher-paid workers. The Secretary of Homeland Security also retains the authority to waive the fee where hiring is considered in the national interest, a determination expected to benefit industries such as defense, healthcare, and infrastructure.
What happens now?
For now, employers remain unsettled. Although exceptions exist, the sudden policy shift has introduced uncertainty into workforce planning and sparked unease within the STEM sectors, which depend on international talent to fill critical roles.
For now, they should understand that the $100,000 fee applies only to new H-1B petitions filed after Sept. 21, 2025. Existing visa holders, as well as petitions already pending before that date, and extensions of approved petitions, remain unaffected.
However, because of the practical risk of confusion at consulates and ports of entry, we continue to advise clients not to travel internationally unless absolutely necessary until the rule has been consistently implemented.
At the same time, EB-5 has remained stable. The reserved EB-5 categories remain current through October 2025, allowing applicants from all countries, including India and China, to file without delay. The Regional Center Program is authorized through Sept. 30, 2027, and petitions filed on or before Sept. 30, 2026, benefit from grandfathering protections. The EB-5 visa, therefore, continues to provide a reliable path to permanent residence while the H-1B program faces uncertainty.
This update is provided for informational purposes only and should not be construed as legal advice. Reviewing this material does not establish an attorney-client relationship.
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