H-1B employees to be denied entry to US beginning Sunday; check details

PTC Web Desk: US President Donald Trump has enacted a proclamation mandating a $100,000 annual fee for H-1B visa applications, effective from 12:01 AM EDT on Sunday, September 21. This significant policy change aims to restrict the entry of foreign workers under the H-1B programme unless employers pay the specified fee.

On September 19, President Donald Trump signed a proclamation imposing a $100,000 annual fee for H-1B visa applications. This fee applies to new applications, extensions, and renewals, marking a substantial increase from the previous $215 registration fee. The policy is set to take effect at 12:01 AM EDT on Sunday, September 21, and will remain in place for 12 months, with the possibility of extension based on federal immigration agencies' recommendations. 

The proclamation specifies that H-1B visa holders seeking to enter the United States after the effective date must have their employer submit a $100,000 payment as part of the visa petition. Failure to do so will result in the denial of entry. The Department of Homeland Security has the discretion to grant exceptions if the employment is deemed to be in the national interest and does not pose a threat to US security or welfare. 

This move is part of a broader immigration overhaul that also introduces a $1 million "gold card" visa pathway to US citizenship for wealthy individuals, and a $5 million "Trump Platinum Card" that allows up to 270 days in the US without US tax obligations on foreign income. These measures are expected to face significant legal challenges and criticism for bypassing Congress. 

Impact on Indian H-1B holders:

Indian nationals constitute a significant portion of H-1B visa holders in the United States. The new policy is expected to have a profound impact on Indian professionals, particularly those employed in the tech industry. Major companies, including JPMorgan Chase and Amazon, have advised their H-1B visa-holding employees currently abroad to return to the United States before the effective date to avoid the new fee. 

The tech industry, which heavily relies on the H-1B programme, has expressed concerns over the new policy. Companies such as Amazon, Apple, and Google have been in discussions with the administration regarding the fee increase. Critics argue that the policy could reduce the number of H-1B applications below the current 85,000 annual cap, potentially leading to a shortage of skilled workers in critical sectors.