Tech Companies Advise H-1B Visa Holders to Remain in US Amid New Fee
Following the White House’s recent announcement of a $100,000 employer fee on new H-1B visa applications, major technology corporations including Amazon, Google, and Microsoft have issued advisories to their H-1B visa employees. These advisories recommend that visa holders avoid international travel and remain within the United States as the new policy takes effect.
White House Proclamation Introduces Substantial Visa Fee
On Friday, the White House declared that President Donald Trump signed a proclamation imposing a $100,000 fee on employers submitting new H-1B visa applications. This unprecedented fee aims to regulate the influx of foreign workers in the US tech sector. The policy is scheduled to take effect at 12:01 a.m. Eastern Time on the upcoming Sunday.
Corporate Advisories Urge Employees to Stay Put
In response, Amazon, Google, and Microsoft reportedly sent internal communications to their H-1B visa employees, advising them to remain in the United States and avoid any foreign travel for the time being. Employees already abroad were encouraged to return before the proclamation’s enforcement.
Business Insider released memos from Amazon and Microsoft, while Sources published Google’s similar advisory. Microsoft declined to comment further, and TechCrunch reached out to Amazon and Google for confirmation.
H-1B Visa Distribution Among Tech Companies
Government data indicates that Amazon has secured the highest number of H-1B visas so far this fiscal year, followed by Tata Consultancy Services, Microsoft, Meta, Apple, and Google, which ranks sixth.
White House Clarifies Scope of Fee and Travel Restrictions
A White House official told Axios that the $100,000 fee will apply exclusively to new H-1B visa applicants and will not affect existing visa holders or those seeking renewals. Furthermore, White House Press Secretary Karoline Leavitt emphasized on X (formerly Twitter) that H-1B visa holders retain their usual rights to leave and re-enter the US, which remain unaffected by the recent proclamation.
“H-1B visa holders can leave and re-enter the country to the same extent as they normally would; whatever ability they have to do that is not impacted by yesterday’s proclamation.” — Karoline Leavitt, White House Press Secretary
FinOracleAI — Market View
The imposition of a $100,000 fee on new H-1B visa applications introduces significant uncertainty for the US technology sector, particularly affecting labor mobility and talent acquisition strategies.
- Opportunities: Potential acceleration of domestic talent development initiatives and increased incentives for companies to invest in US-based workforce training.
- Risks: Disruption in hiring foreign talent, increased operational costs for tech firms, and potential delays in project timelines due to reduced labor flexibility.
- Heightened employee anxiety regarding travel and visa status, potentially impacting workforce morale and retention.
- Possible shifts in global tech talent flows as companies reassess immigration-dependent hiring.
Impact: This policy is likely to exert a negative near-term impact on tech companies reliant on H-1B visa holders, with broader implications for US competitiveness in the global technology labor market.