U.S. Immigration Alerts

Lawsuit Challenges Trump Administration’s $100,000 H-1B Visa Fee

A coalition of unions, universities, religious organizations, nonprofits, and advocacy groups has filed a lawsuit against the Trump administration in the Northern District of California. The legal challenge disputes the president’s authority to impose a $100,000 fee on new H-1B visas, arguing the move bypasses Congress, violates established regulatory procedures, and threatens schools, hospitals, churches, and small businesses nationwide.

Key Points

• Fee Imposed by Proclamation: President Trump signed a proclamation imposing a $100,000 fee on each new H-1B visa. The White House later clarified that the fee applies only to new visas, not to existing visa holders.
• Basis of the Lawsuit: Plaintiffs argue the president has no authority to unilaterally impose such fees, which they contend is a power reserved for Congress. They also assert that required regulatory processes were ignored.
• Claim of Harm: The lawsuit emphasizes that the steep fee would disproportionately harm hospitals, schools, small businesses, religious organizations, and nonprofits that depend on skilled foreign workers.
• Impact on Employers: Tech start-ups, universities, school districts, and healthcare associations warn that the fee will reduce competitiveness, worsen workforce shortages, and negatively affect patient care.
• Religious Organizations Affected: Nonprofit religious groups, such as the Society of the Divine Word’s Chicago Province, rely on H-1B visas for specialized language and cultural skills and argue the new cost is prohibitive.
• Legal Arguments: Plaintiffs contend the administration’s action is “arbitrary and capricious” and inconsistent with the Immigration and Nationality Act. They argue the president’s authority to restrict entry for national interest does not extend to imposing visa fees.
• Plaintiff Representation: The coalition is represented by the Justice Action Center, Democracy Forward, and the South Asian American Justice Collaborative, among others.
• Plaintiff Organizations: The groups include the American Association of University Professors, U.A.W. International, Global Nurse Force, and Global Village Academy Collaborative. Each organization cites direct harm to its operations from the new policy.
• Administration’s Position: Federal officials defend the fee as a measure to protect U.S. workers, asserting it will discourage companies from using H-1B visas to replace American employees. Immigration hard-liners support the fee as a way to force employers to prioritize critical hires.
• Broader Consequences: The lawsuit underscores that beyond harming specific organizations, the policy could undermine public welfare, education, and healthcare systems nationwide.

Fakhoury Global Immigration is monitoring these developments very closely and will provide further updates as warranted. Should you have any questions, please contact your immigration attorney or FGI at info@employmentimmigration.com or (+1) 248.643.4900.