Boston federal judge blocks Trump fee for H-1B visas
A federal judge in Boston has blocked a $100,000 fee for H-1B visas implemented by the Trump administration, deeming it an unauthorized tax lacking congressional approval. This policy, introduced last year, significantly raised the fee from the previous $2,000 to $5,000, with the intention of giving priority to U.S. citizens. The White House has indicated plans to appeal this ruling.
Recently, the Trump administration proposed a more than $100,000 charge for cap-subject H-1B petitions aimed at highly skilled foreign workers, a fee that had initially been imposed via presidential proclamation and is currently under legal scrutiny.
The Department of Homeland Security suggested that this new fee would be set at $103,265 for every H-1B petition that falls under the annual cap, including those for advanced-degree exemptions. This visa category is crucial in sectors like technology, education, and research.
The administration intends for these charges to offset federal costs related to the management of the immigration system, which involves multiple departments, including Justice, State, and Labor.
Previously, a federal judge had temporarily barred the collection of this fee after the Trump administration had first instated it. Presently, an appellate court is examining the judge’s decision while another court looks into a major business group’s challenge against the fee.
This temporary increase is set to expire next month, one year after it was implemented. The proposed rule from the DHS was recently opened for public inspection, and should be published in the Federal Register shortly. If accepted, it would permanently establish the $103,265 fee.
Finalization of this charge could occur by year’s end.
The H-1B program allows U.S. companies to employ foreign workers with specific training in various fields, making available 65,000 visas annually under the regular cap, plus an additional 20,000 for those holding a master’s degree or higher from U.S. institutions. Typically, these visas are granted for up to three years, with potential extensions available.
The proposed fee would apply to all capped H-1B petitions, including some from foreign students seeking to switch to H-1B status. However, it wouldn’t affect cap-exempt petitions or routine extensions for current visa holders.
The Trump administration has claimed abuse of the H-1B program by some firms that allegedly replace American workers with cheaper foreign labor. Yet, many U.S. businesses argue that this system is essential for addressing skill gaps in the workforce and bringing high-skilled labor to support the economy.
According to recent court documents, approximately 70 employers had already paid the $100,000 fee for a total of 85 visa applications by late February.
The U.S. Chamber of Commerce, along with some states and a group of labor unions and employers, is actively contesting this fee, with possibilities to adapt their complaints against the newly proposed rule once it is finalized.
This month, the DHS has also added fees of up to $4,500 for both extending the stay of H-1B workers and transferring employees from abroad to the U.S.
