H-1B visa row: Republicans oppose $100,000 fee hike in letter to Trump, ‘will weaken our competitiveness’

In the letter, the representatives have said the the H-1B fee hike would unfairly burden early-stage employers and small businesses, especially those that are not yet profitable

Written By Chanchal
Updated23 Oct 2025, 07:45 PM IST
H-1B visa row: Republicans oppose $100,000 fee hike in letter to Trump, ‘will weaken our competitiveness’
H-1B visa row: Republicans oppose $100,000 fee hike in letter to Trump, ‘will weaken our competitiveness’(Bloomberg)

Three Republicans have joined Democrats in writing a letter to United States President Donald Trump and Commerce Secretary Howard Lutnick to oppose the $100,000 fee imposed on the H-1B visas for foreign talent, urging them to reconsider the new fee hike.

The Republicans who have written to the President and the commerce secretary are Representatives Jay Obernolte of California, Maria Elvira Salazar of Florida, Don Bacon of Nebraska.

They signed a letter with three Democrats – Sam Liccardo of California, Suhas Subramanyam of Virginia, and Greg Stanton of Arizona – and said that the H-1B visa fee hike would “weaken our competitiveness” against other countries.

In the letter, the representatives have said that the the fee hike would unfairly burden early-stage employers and small businesses, especially those that are not yet profitable.

“Specifically, we have heard clearly from technology innovators that the proclamation’s $100,000 annual fee is prohibitively expensive for early-stage employers and small companies, particularly those that have not yet become profitable,” it said.

Also Read | Top FAQ on $100,000 fee for H-1B visas answered

“The recently announced H-1B visa changes will undermine the efforts of the very catalysts of our innovation economy – startups and small technology firms – that cannot absorb costs at the same level as larger firms,” the letter read.

The lawmakers further said, “We agree that the H-1B visa program can be improved and that reform is needed to better align the system with America’s values and workforce needs.”

“At the same time, we are concerned that the recent proclamation related to H-1B visa petitions will create significant challenges for U.S. employers and overall weaken our competitiveness.”

They warned that if US companies do not hire the foreign talent, the workers would go back to their countries such as India, China, Israel, or Europe to launch companies that compete directly against the US firms.

“It will bar those rapidly scaling American startups from recruiting and retaining critically needed talent, undermining their growth, reducing employment of US citizens by those same employers, and imperiling our nation’s technological leadership and global competitiveness.”

Who does H-1B visa fee hike apply to?

Lately, the fresh guidelines related to H-1B visa fee hike declared that the USD 100,000 H1B visa fee will not apply to applicants seeking a “change of status” or “extension of stay”.

The US Citizenship and Immigration Services confirmed that the $100,000 H-1B fee can be avoided if the applicant enters on a different visa (e.g. F-1 visa for international students, L-1 visa for international companies) and then switches to H-1B inside the US.

They can re-enter the US on their H-1B and not be fined.

As per the official website of USCIS, the Proclamation does not apply to any previously issued and currently valid H-1B visas, or any petitions submitted prior to 12:01 am eastern daylight time on September 21, 2025 and it does not prevent any holder of a current H-1B visa, or any alien beneficiary following petition approval, from traveling in and out of the United States.

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