Top News

New Visa Regulations Announced

New York/Washington: President Donald Trump has declared that the misuse of the H-1B visa program poses a national security risk. He has enacted a proclamation that limits the entry of specific non-immigrant workers and introduces a hefty annual fee of $100,000 for companies hiring foreign workers, including those from India, to work in the U.S.

On Friday, Trump signed the proclamation titled ‘Restriction on Entry of Certain Nonimmigrant Workers,’ which mandates that H-1B petitions must be accompanied by the $100,000 fee.

In his proclamation, Trump stated, “The H-1B nonimmigrant visa program was designed to bring skilled temporary workers to the U.S., but it has been misused to replace American workers with lower-paid labor.”

He further emphasized that the exploitation of the H-1B program is a national security concern, as domestic law enforcement has investigated outsourcing companies for visa fraud and other illegal activities.

Trump argued that imposing higher costs on companies utilizing the H-1B program is essential to curb its abuse while still allowing firms to hire top-tier foreign talent.

He noted, “The extensive misuse of this program has inflicted severe damage on our economic and national security, necessitating an immediate response. Unrestricted entry of certain foreign workers could harm American workers by driving down their wages.”

The proclamation directs the Secretary of Homeland Security to limit decisions on H-1B petitions that lack the $100,000 payment for a year following the proclamation's effective date of September 21, 2025.

Additionally, the Secretary of State is tasked with issuing guidance to prevent the misuse of B visas by beneficiaries of approved H-1B petitions with employment start dates before October 1, 2026.

The restrictions will not apply to individuals whose employment as H-1B specialty occupation workers is deemed in the national interest and does not threaten U.S. security.

The Departments of Homeland Security and State are instructed to collaborate on implementing this proclamation and to deny entry to any H-1B nonimmigrant whose employer has not made the required payment.

These entry restrictions will only affect individuals attempting to enter the U.S. after September 21, 2025.

Trump highlighted that the widespread replacement of American workers through the program's abuse has compromised both economic and national security.

He pointed out that some employers have manipulated the H-1B regulations to suppress wages, creating a challenging labor market for American citizens and making it harder to attract highly skilled temporary workers, particularly in STEM fields.

The proclamation specifically mentions that IT firms have significantly exploited the H-1B system, adversely affecting American workers in technology-related jobs.

It was noted that the proportion of IT workers in the H-1B program surged from 32% in Fiscal Year 2003 to over 65% in the last five fiscal years, with many of the top H-1B employers being IT outsourcing companies.

The proclamation also pointed out that the abuse of the H-1B visa program has made it increasingly difficult for recent college graduates to secure IT positions, as employers opt for foreign workers at lower costs.

High unemployment rates among computer science graduates were cited, along with reports of American tech companies laying off skilled workers while hiring thousands of H-1B employees.

An example was given of a software company that received approval for over 5,000 H-1B workers in FY 2025 while simultaneously announcing layoffs of more than 15,000 employees.

Moreover, American IT workers reported being compelled to train foreign workers who took their jobs and were required to sign nondisclosure agreements regarding this situation as a condition for receiving severance.

---