The Trump administration sparked global panic among foreign guest workers after announcing an “enhanced” $100,000 fee on H-1B visas. Initially framed as an annual charge, the announcement led to confusion, with many fearing it would apply immediately—even to existing visa holders and renewals. Advisories from tech firms triggered last-minute travel changes among Indian professionals and others.
White House Walks Back Interpretation
Clarifying the policy, White House spokesperson Karoline Leavitt said the $100,000 fee is not an annual tax and will apply only once, to new H-1B petitions in the March 2026 lottery cycle. Existing H-1B holders, including those currently outside the US, will not be impacted. Renewals and re-entries will continue under current rules without additional charges.
Panic Among Workers and Companies
Before the clarification, scores of H-1B workers canceled international trips, while those abroad scrambled to return before September 21. Some feared they would be charged $100,000 simply to re-enter the US. The confusion also highlighted how vague language in policy announcements can cause severe disruptions to workers and businesses that rely on foreign talent.
Backlash from Both Sides
The rollback did little to calm immigration hardliners, who accused Trump of retreating under pressure. On right-wing forums, critics demanded that the fee also apply to renewals, transfers, and re-entries, arguing that foreign workers should be replaced by remote employment. MAGA activists, emboldened by partial restrictions, are now targeting other visa programs like OPT for foreign graduates and L1 intra-company transfers.
What This Means Going Forward
While the immediate panic has been defused, the episode underscores how H-1B policy remains a lightning rod in US politics. For Indian IT professionals—who make up nearly 70% of H-1B holders—the clarification offers temporary relief, but the uncertainty around long-term US immigration pathways persists. With the 2026 lottery cycle approaching, applicants face a steep new financial barrier, intensifying debates about access to America’s tech job market.
