Trump’s $100,000 H-1B Fee Faces Another Court Setback

4

Second US Court Blocks Trump’s $100,000 H-1B Visa Fee

A second US federal judge has blocked the Trump administration from enforcing its $100,000 fee on new H-1B visas for highly skilled foreign workers, ruling that federal agencies failed to follow the required rule-making process before introducing the charge.

US District Judge Haywood Gilliam in Oakland, California, granted a request from a coalition of unions, employers and non-profit organisations challenging the fee. His order prevents US Citizenship and Immigration Services (USCIS) and the State Department from enforcing the charge while the lawsuit proceeds.

The ruling adds another hurdle for the administration as it defends the legality of the unprecedented fee in multiple courts.

Judge Cites Rule-Making Failure

Gilliam’s ruling focused on whether the agencies followed the procedures required under federal administrative law before imposing the fee.

The latest case is separate from an earlier lawsuit in Boston, where a federal judge blocked the charge in June in a case brought by 20 states. A federal appeals court in Boston declined in July to pause that decision, leaving the fee blocked in that litigation as well.

The legal challenges also question whether the president had the authority to impose the $100,000 charge unilaterally.

The White House did not immediately respond to a request for comment.

Trump Extended Fee for Another Year

Trump had initially imposed the $100,000 fee with an expiry date of September 21. He subsequently extended the measure for another year, keeping the policy in place while legal challenges continued.

The charge represented a dramatic increase from the fees employers had typically paid for H-1B applications, which generally ranged from about $2,000 to $5,000 depending on the circumstances.

The administration has defended the fee as part of its effort to change the H-1B programme, arguing that some employers had used the system to replace American workers with lower-paid foreign labour.

It has also introduced enhanced screening for applicants and proposed changes to the visa selection process that would give greater weight to higher-skilled and higher-paid workers.

Separate $103,000 Fee Proposal

The administration is pursuing another route to impose a similar charge.

The Department of Homeland Security proposed a permanent H-1B fee of about $103,000 in August. Unlike Trump’s existing fee, the proposed charge would go through a separate regulatory process and could face its own legal challenges if finalised.

The US Chamber of Commerce has also filed a separate lawsuit challenging Trump’s $100,000 fee and is appealing after a judge rejected its argument that the president lacked authority to impose the charge.

What Is the H-1B Programme?

The H-1B visa allows US employers to hire foreign professionals for jobs requiring specialised knowledge or training. The programme is particularly important to the technology industry.

Under the annual cap, 65,000 H-1B visas are available, with another 20,000 reserved for workers holding advanced degrees from US institutions. Visas are generally approved for periods ranging from three to six years.

Workers from India and China make up a significant share of H-1B beneficiaries, making changes to the programme particularly relevant to foreign technology professionals seeking employment in the US.

With the latest ruling, the $100,000 fee now faces blocks in two separate federal cases, while the administration continues to defend its authority to impose the charge and pursue a permanent version through a separate regulatory process.

Comments are closed.