The Trump administration announced Friday that it will require companies to pay $100,000 per year for H-1B worker visas, a steep increase that could hit the U.S. technology sector hard. The change is set to take effect at midnight Saturday (0400 GMT Sunday).
Several major tech companies have advised their H-1B visa employees to stay in the U.S. or return quickly if they are abroad. Those already in the country have been urged to avoid international travel until the government issues clear guidance on the new fee structure and travel policies.
“If you’re going to train somebody, train one of the recent graduates from our great universities,” Commerce Secretary Howard Lutnick said Friday. “Train Americans. Stop bringing in people to take our jobs.”
The move is part of a broader immigration crackdown launched by President Donald Trump since taking office in January, including steps to limit some forms of legal immigration. Reshaping the H-1B visa program is the administration’s most high-profile attempt yet to overhaul temporary employment visas.
Critics of the H-1B program, including many U.S. tech workers, argue that it allows companies to suppress wages and sideline Americans who could do the jobs. Supporters, such as Tesla CEO and former Trump ally Elon Musk, counter that the program brings in highly skilled workers who are crucial for filling talent gaps and keeping companies competitive. Musk himself, a naturalized U.S. citizen born in South Africa, once held an H-1B visa.
Microsoft, JPMorgan, law firm Ogletree Deakins (which represents JPMorgan on immigration issues), and Amazon did not immediately respond to Reuters’ requests for comment.