Amid President Donald Trump’s crackdown on H-1B visas, immigrant workers in the U.S. are finding it easier to obtain visas for agricultural positions than for technical or high-skilled jobs, according to a report from Axios.
In September, Trump announced a proclamation that introduced a $100,000 fee for H-1B visa applicants. By February 15, only 85 applicants had paid this fee, as highlighted in a recent lawsuit. This raises concerns about the impact of such costs on potential visa holders.
“American workers must come first,” said Matthew J. Tragesser, a spokesman for U.S. Citizenship and Immigration Services (USCIS). The new fee sends a strong message that prioritizing American talent is essential before considering foreign workers.
Around 65,000 H-1B visa holders from the fiscal year 2024 could be affected by these fees, particularly since the information technology (IT) sector files about 70% of all H-1B petitions each year, based on data from Nation Connection.
The H-1B program, which was established in 1990, allows American companies to employ temporary foreign workers for specialized roles. Although categorized as nonimmigrant visas, those holding H-1B status can eventually apply for permanent residency, potentially allowing them to stay in the U.S. indefinitely.
This Tuesday, officials announced that they had received enough registrations to meet the H-1B visa cap for fiscal year 2027.
Moreover, the Department of Labor (DOL) is working on revising the wage structure for H-1B workers, which is expected to increase hiring costs. A DOL spokesperson noted that the previous methodology allowed employers to offer wages to experienced foreign workers that were comparable to entry-level U.S. salaries, creating a disincentive for hiring American entry-level workers.
This proposal aims to align foreign workers’ wages more closely with those of their U.S. counterparts and to prevent wage suppression. It’s intended to ensure compliance with regulations concerning foreign labor.
Leading up to Trump’s second inauguration, his coalition seemed to be fracturing. Key supporters like Elon Musk and Vivek Ramaswamy, along with others like Steve Bannon and Matt Gaetz, openly criticized the plan around that time.
Initially, Trump was a proponent of the H-1B program, even describing it as “great.” Yet, the recent declarations signify a notable shift towards a more pro-American labor stance. Interestingly, he suggested in November that H-1B workers are essential because Americans lack certain technical skills, such as making microchips.
White House Press Secretary Caroline Levitt emphasized that the President does not support displacing American workers, stating that Trump’s perspective on this issue is nuanced. There’s a prevalent misconception about his stance.
Between October 2022 and September 2023, 72% of all approved H-1B recipients were born in India. Reports suggest that over 428,000 tech workers experienced job losses in 2022 and 2023, with numerous technology firms laying off thousands in 2024.
According to an estimate, up to 730,000 H-1B holders are currently residing in the United States. American tech workers have historically argued that the H-1B system disadvantages them by forcing them into competition with cheaper labor from abroad.
Kevin Lin, founder of Tech Workers of America, raised concerns about the $100,000 fee and its one-time nature versus an annual fee. He noted that while the fee could shift dialogues in favor of American workers, there’s a risk that without formal changes, it might be undone by a future administration. The proposed DOL rule changes could raise prevailing wages for H-1B workers, but they are still in the early stages of discussion.
Lin also called for an immediate halt to the employment visa program.
