Trump Backs Proposed H-1B Fee to Prioritize American Workers

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WASHINGTON — President Donald Trump used his Labor Day proclamation to promote a proposed new fee on H-1B visa petitions, arguing that it would encourage American companies to invest in U.S. workers before turning overseas for talent.

“To ensure we are hiring and training American workers, we are proposing a new fee on H-1B visa petitions that will encourage companies to invest in qualified Americans before looking overseas for labour,” Trump said in the proclamation.

The endorsement placed the politically sensitive H-1B visa program at the center of Trump’s Labor Day economic message, which focused heavily on manufacturing, tariffs, trade and protecting American jobs.

The H-1B program is widely used by U.S. technology companies and other employers to recruit highly skilled foreign professionals. Indian nationals have historically made up the largest group of H-1B beneficiaries, making proposed changes to the program closely watched in India and by Indian professionals in the United States.

The fee referenced by Trump was not imposed as part of the proclamation. The Department of Homeland Security last month proposed a $103,265 fee for H-1B petitions subject to the annual numerical cap, including those eligible for the advanced-degree exemption.

Under the proposed rule, the fee would be paid when a petition is filed and would come in addition to other applicable immigration charges. The administration says the money would help cover federal costs associated with administering the legal immigration system.

Trump framed the H-1B proposal as part of a broader strategy to give preference to American workers.

“After decades of disastrous trade policies that surrendered our industrial strength to foreign nations, companies are now returning home, investing trillions of dollars into the United States economy, and adding over 900,000 American jobs,” Trump said.

He also credited what he called his “protective tariffs” with shielding U.S. workers from foreign competition and said American manufacturing had expanded for six consecutive months.

“Our Nation is entering a bold new era of American manufacturing, technological innovation, and economic prosperity — powered by the might of the American worker,” Trump said.

The proclamation formally designated Sept. 7 as Labor Day and called on Americans to honor the contributions and resilience of workers.

The latest H-1B proposal follows a separate Trump administration effort to impose a $100,000 fee on new H-1B visas. A federal judge in Massachusetts struck down that fee in June, ruling that the administration had exceeded its authority. A federal appeals court in July rejected the administration’s request to suspend the ruling while the case continues.

The proposed $103,265 fee is instead being pursued through the federal rulemaking process. It would apply to cap-subject H-1B petitions and has not yet taken effect, meaning employers are not currently being charged the amount as a result of Trump’s Labor Day proclamation. (Source: IANS)