H-1B Visas Hit with $100K Fee to Block Job Outsourcing
Published Date: 9/23/2026
Presidential Document
Summary
The U.S. is extending rules that limit certain H-1B visa workers for another year, until September 21, 2027. This affects mostly IT staffing and outsourcing firms that have been using cheaper foreign workers to replace American employees. To enter, these workers now need a $100,000 fee with their visa petition, helping protect American jobs and wages.
Analyzed Economic Effects
5 provisions identified: 2 benefits, 3 costs, 0 mixed.
$100,000 Requirement to Bring H-1B Workers
If you are an employer seeking to bring an H-1B specialty-occupation worker from outside the United States, the petition must be accompanied or supplemented by a $100,000 payment. This restriction is being extended for an additional 12 months, through September 21, 2027.
Visa Approval Tied to Payment Verification
The Department of State will verify receipt of the $100,000 payment during the H-1B visa petition process, and the Departments of State and Homeland Security will take action to deny entry to any H-1B nonimmigrant for whom the employer has not made that payment. Employers must ensure the payment exists for approval.
Extension Aims to Favor Higher-Paid, Higher-Skilled Hires
The proclamation is intended to deter lower-paid, lower-skilled H-1B recruitment and increase access for higher-skilled, higher-paid workers; since the prior rule, large IT staffing firms reduced combined H-1B registrations from 24,946 to 2,055 (a 92% decrease), consular processing requests fell nearly 97%, and registrants with at least a U.S. master’s degree rose from 45.1% (FY2026) to 66.1% (FY2027). The extension continues through September 21, 2027.
National-Interest Exceptions Possible
The restriction does not apply to an individual, all employees of a company, or all employees in an industry if the Secretary of Homeland Security determines, in the Secretary's discretion, that hiring those H-1B workers is in the national interest and does not threaten U.S. security or welfare.
Employer Recordkeeping Requirement for Payment
Before filing an H-1B petition for an alien outside the United States, employers must obtain and retain documentation showing the $100,000 payment has been made. This is part of the compliance steps tied to visa processing.
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Key Dates
Department and Agencies
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Previous / Next Documents
Previous: 2026-19417, Restoring American Saltwater Angling and Recreation
This order boosts saltwater fishing and recreation by cutting red tape and supporting coastal communities, anglers, and charter businesses. It calls for better data and teamwork between federal agencies and states to keep fishing fun and thriving. Changes start rolling out within 180 days, aiming to grow jobs and the outdoor economy without hurting access or the environment.
Next: 2026-19555, Enhancing Program Integrity and Interagency Coordination in the Administration of the H-1B Nonimmigrant Visa Program
This new order cracks down on companies misusing the H-1B visa program, which was meant to bring in highly skilled foreign workers but has been used to replace American workers with cheaper labor. It aims to protect U.S. workers’ jobs and wages by improving how agencies work together and enforce the rules. These changes will start soon and could affect many tech companies and others relying heavily on H-1B workers.