The administration is proposing major changes to U.S. work visas for high-skilled foreign professionals, including a $100,000 surcharge on H-1B petitions and a separate “$1 million visa” concept. The moves, aimed at raising funds for workforce priorities and protecting domestic jobs, could reshape how companies hire tech workers, researchers, and other specialized talent. With demand for H-1Bs routinely outpacing the 85,000 annual cap, even preliminary proposals are already generating debate among policymakers, industry groups, and immigration experts.
What the H-1B Is and Proposed Changes
The H-1B is a temporary work visa for “specialty occupation” roles, typically requiring a bachelor’s degree or higher. It allows foreign professionals to work in the U.S. for up to three years, usually extendable to six, and is tied to a specific employer and job. Each fiscal year, 65,000 H-1Bs are available under the regular cap, plus 20,000 for graduates of U.S. master’s or higher programs. Many universities and nonprofit research institutions are cap-exempt. Because registrations exceed available numbers, most cap-subject cases are awarded via lottery.
Currently, H-1B costs include several thousand dollars in filing fees, training fees, and optional premium processing. The proposed $100,000 surcharge would sit on top of these fees, representing a significant increase. Key details remain unsettled, including whether the surcharge would apply only to new petitions or also to extensions and transfers. Officials could implement the change through existing fee-setting authority, but a formal rulemaking process with public comment is likely.
Potential Impacts on Hiring and the Workforce
A six-figure surcharge could significantly alter how H-1Bs are used. Analysts say it could reduce lottery registrations, particularly among mid-size firms and startups that rely on H-1B talent. Graduates of U.S. universities seeking to stay on after Optional Practical Training could face increased competition, and extensions or transfers may become more expensive and complex. Hospitals, rural employers, and other organizations that rely on specialized skills could encounter new barriers.
Alongside the H-1B proposal, the administration is considering a separate “$1 million visa” pathway. Proponents argue it could fund workforce programs and system modernization, while critics warn it could favor wealth over merit. Details are limited, and the concept is expected to remain a niche option rather than a mainstream alternative.
Economic and Legal Considerations
Experts note that a steep H-1B surcharge could encourage employers to increase domestic recruitment, shift work offshore, or consolidate operations. Startups could face challenges accessing specialized talent, while larger firms may absorb costs more easily. Countries with streamlined high-skill immigration pathways, such as Canada, the U.K., and Australia, may benefit if U.S. visa hurdles increase.
Legally, the administration’s authority to set a six-figure surcharge without new legislation could be challenged. Any final rule would likely face scrutiny under the Administrative Procedure Act and could see litigation over fee methodology, economic impact, or claims of indirect discrimination.
While the proposals are not yet final, they signal a potential shift in U.S. immigration policy for high-skilled workers. Lawmakers, employers, and advocacy groups are expected to weigh in during the rulemaking process, and any final rules could have wide-ranging implications for hiring, retention, and international mobility. Observers note that the outcome could affect not only the domestic labor market but also the United States’ standing as a destination for global talent.