Trump plans to revamp the H-1B visa program by implementing a $100,000 application fee.
In a recent development, US President Donald Trump announced plans to introduce a new $100,000 application fee for H-1B worker visas and order changes to the prevailing-wage levels for the programme.
The H-1B visa program, primarily used for specialty occupations, particularly in the technology field, such as software engineers, tech program managers, and other IT professionals, has become critical for technology and staffing companies who rely on foreign workers to fill a variety of technical roles.
Notably, in 2025, Amazon had over 10,000 H-1B visas approved, with Indian IT companies Infosys, TCS, and Hexaware being the largest users of these visas, with Infosys having the highest share of employees on H-1B visas, followed by Hexaware and LTIMindtree. Other significant companies include Coforge, HCL Tech, and Wipro.
The new application fee is intended to reduce the use of H-1B visas as part of Trump's broader immigration crackdown. However, it's important to note that the H-1B visa program does not apply to student visas, which have been subject to revocation by the Trump administration.
Critics of the H-1B visas argue that companies use H-1B visa workers to suppress wages and pass over American workers for jobs they may otherwise be qualified for. On the other hand, proponents of the programme argue that it allows companies to access a global talent pool, particularly in the technology sector where there is a high demand for skilled workers.
It's also worth mentioning that in 2020, India was the largest beneficiary of H-1B visas, accounting for 71% of approved beneficiaries, while China was a distant second at 11.7%. H-1B visas are approved for a period of three to six years.
Trump is expected to sign a proclamation restricting H-1B visa entry unless the application fee is paid. The exact details of the changes to the prevailing-wage levels for the H-1B program have not been disclosed yet.
This announcement has caused a stir in the tech industry, with shares of Cognizant Technology Solutions Corp, an IT services company that relies extensively on H-1B visa holders, falling over 5% on Friday. The impact of these changes on the tech industry and the broader economy remains to be seen.
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