Why the $1 lakh H-1B fee could backfire on American employers
- Lubna Kably
- ET Bureau Nov 25, 2025, 12:21 IST IST
Donald Trump’s proclamation in September to impose a $1 lakh entry fee on each new non-immigrant high-skilled worker (H-1B visa holder) was pitched to protect American jobs. But the data tell a different story. Far from safeguarding the US labour market, the fee threatens to increase costs for American employers, weaken US competitiveness in technology and healthcare, and harm citizens — exactly the opposite of its stated aim.
Has Trump realised this, and softened his stance? In an interview with Fox News earlier this month, he said: ‘You also do have to bring in talent.’ When the host said the US has plenty of talented people, Trump replied, ‘No, you don’t.… You don’t have certain talents, and people have to learn.’ Trump’s MAGA-America First base is not happy with this turnaround.
Has Trump realised this, and softened his stance? In an interview with Fox News earlier this month, he said: ‘You also do have to bring in talent.’ When the host said the US has plenty of talented people, Trump replied, ‘No, you don’t.… You don’t have certain talents, and people have to learn.’ Trump’s MAGA-America First base is not happy with this turnaround.
