A legal challenge has been launched in the United States over the Trump administration’s recent modifications to the H-1B visa program, which dramatically raised fees, bringing them to roughly 8.8 million rupees. The lawsuit contests the fee increase, which was implemented by the Trump administration. A coalition of healthcare providers, religious groups, university professors, and other organizations has filed a lawsuit in a federal court, claiming the new fee structure has caused disruption for employers, workers, and federal agencies.
The fee hike was mandated by a Presidential proclamation on September 19th. President Trump argued the H-1B visa program was being misused to substitute American workers with cheaper, less-skilled foreign labor. The proclamation was set to take effect quickly, surprising employers.
The lawsuit, filed in a San Francisco federal court, asserts that the H-1B program is crucial for hiring healthcare professionals and educators, and it fosters innovation and economic growth, particularly by facilitating employment in specialized fields. The Democracy Forward Foundation and the Justice Action Center state that the visa changes could lead to significant losses, including doctors leaving hospitals, religious leaders disappearing, educators leaving their institutions, and critical innovators leaving their respective industries. The lawsuit demands the immediate reversal of the order and a return to the former conditions for employers and employees, and the fee increase has been described as an anti-immigration tactic.
Some critics of the program argue that it brings in foreign workers who are prepared to accept salaries as low as $60,000 per year, while American tech employees often earn more than $100,000. The H-1B visas were previously distributed through a lottery. Amazon obtained the most visas this year, followed by Tata Consultancy, Microsoft, Apple, and Google. California houses the largest number of H-1B workers.
American University Professors Association President Todd Wolfson stated the high fees could discourage talented individuals from coming to America, potentially hindering research. United Automobile, Aerospace, and Agricultural Implement Workers of America Regional Director Mike Miller said that the administration’s plan prioritizes wealth and connections. Skye Perryman, president of Democracy Forward, said the excessive fees may promote corruption, and that the program’s overhaul is illegal. The H-1B program was established by Congress, not the President.
White House spokesperson Abigail Jackson defended the administration’s position, asserting that the order complies with the law. She highlighted that the goal is to prevent companies from exploiting the system and driving down American wages.
The H-1B program is crucial for U.S. employers in sectors like technology, healthcare, and education, enabling them to employ foreign specialists. Tech firms rely heavily on the visa for international recruitment. Each year, 65,000 visas are issued, with an additional 20,000 reserved for those with advanced degrees. Typically, these visas are valid for three to six years. According to government figures, India led the program with 71% of approvals last year, while China had 11.7%. Employers currently pay fees ranging from $2,000 to $5,000, depending on factors. The Trump order mandates the new fee of 8.8 million rupees per new H-1B hire.