Presently, organizations incur approximately $10,000 to $20,000 every three years for obtaining necessary documentation and legal fees. The Trump administration proposes an annual fee of $100,000 instead.
Published Sep 20, 2025 | 8:27 PM ⚊ Updated Sep 20, 2025 | 8:27 PM
Synopsis: Indian professionals in the United States holding H1B visas are expressing trepidation over President Trump’s recent announcement regarding a substantial $100,000 annual fee for extensions. However, there is an anticipation that this regulation might face judicial scrutiny and may ultimately not be enacted as federal legislation.
“I doubt any employer would willingly pay $100,000 annually to retain an employee; that’s exorbitant,” asserted Gulshan, a Kerala native employed by a multinational technology firm in the US under an H1B visa, while speaking to South First.
Originally from Kerala, Gulshan previously worked in Delhi before relocating to the US on an H1B visa in 2018, where he focuses on marketing analytics with a background in data science.
President Trump’s latest edict advocating a staggering annual fee of $100,000 for H1B visa applications has undeniably cast a shadow over his professional landscape.
“It’s unclear if this will affect new H1B visa holders or those already established,” he remarked, adding, “but if it impacts all visa holders, the repercussions will be significant.”
Currently, companies are required to allocate approximately $10,000 to $20,000 every three years, which encompasses documentation and legal fees.
“This is merely a proclamation at this stage; it has yet to become an executive order,” he explained. He noted that human resources personnel have advised many H1B workers against international travel for now, fearing complications with re-entry. Consequently, employees are opting to “wait and see.”
Gulshan conveyed his fears for long-term H1B holders, stating, “The implications could be drastic for those who have lived in the US for over a decade. If enforced as legislation, it poses a grave threat to my employment status, compelling me to return to India.” He questioned the rationale behind employers retaining employees when faced with such exorbitant fees.
“We must look beyond the surface. The H1B visa system has been plagued by fraudulent activities necessitating some regulatory oversight. Currently, those holding H1B visas are left in limbo, awaiting potential judicial rulings. Numerous injunctions could arise; thus, we remain cautiously optimistic,” Gulshan remarked.
When questioned about a contingency plan, he candidly shared, “I’ve had a backup plan for the past three years. Many of my friends have successfully navigated Canadian permanent residency, and I could pursue permanent residency in Australia as well. However, I’d also contemplate returning to India without hesitation.”
He acknowledged a growing anti-foreign worker sentiment in the US, attributing it to a perception that such immigrants are usurping employment opportunities, despite the fact that they often fill crucial skill gaps.
A Mysuru-born individual, who wishes to remain anonymous, has been working for an Indian IT conglomerate in the US since the early 2000s and presently occupies a mid-management position in quality assurance and supply chain.
“Let’s approach this methodically. We ought to wait and see how this proclamation is interpreted; it’s complex and will likely face legal challenges,” he stated.
Historical precedents
Furthermore, he expressed concern not solely about the announcement but about the mental strain stemming from rampant speculation. “Reflect on previous orders; not all have been implemented. History suggests otherwise, so it’s crucial to maintain composure and carry on,” he advised.
Dr. Shilpa Ajay, Professor and Head of the Department of Management Studies at the Nitte Meenakshi Institute of Technology, described the imposition of a $100,000 fee on H-1B visa applications as a potential turning point—not only for immigration policy but for the innovation landscape itself.
“While the initial focus is on Indian IT professionals, the deeper casualty may be the robust system of high-risk, high-reward innovation that has historically flourished in the United States.”
“Medium-sized firms and startups, which previously relied heavily on foreign-trained engineers, may now find the cost of securing talent prohibitively high. This shift could reshape the dynamics of innovation across borders, making alternatives like Canada, Germany, and Singapore increasingly attractive for intellectual property and capital flow,” she elaborated.
Prof. Meera Aranha, Adjunct Faculty and Professor of Finance at TAPMI Manipal, commented, “Should the fee be prospective, companies might find workarounds feasible. Yet, if it applies retroactively, affecting all existing H1B staff, it could devastate countless households and portray the US as an unreliable partner in trade relations.”
Prof. Srinivasa Reddy, Chairperson of Placement and Corporate Engagement at TAPMI, highlighted, “American enterprises, especially mid-sized companies that depend on Indian personnel for deploying IT solutions, will be hit hardest. They cannot afford to establish captive centers or Global Capability Centers (GCCs) in India.”
“Moreover, larger organizations utilizing the H1B program to retain AI talent may need to relocate significant resources to overseas GCCs. As a result, we could see a continued boom in GCCs, with high-tech investments gravitating towards Bengaluru and Hyderabad,” he concluded.
Source link: Thesouthfirst.com.
