H-1B: List of new restrictions proposed by White House after $100,000 visa fee

The Donald Trump administration is pushing for a major overhaul of the , going beyond the initial shock of the $100,000 fee that is now mandatory for all companies that want to file H-1B petition to hire staff from foreign countries. The proposals, formally listed in the Federal Register under the title of 'Reforming the H-1B Nonimmigrant Visa Classification Program' include several technical aspects which will impact the hiring of Indians.

Definition of 'specialty occupation'

Department of Homeland Security, in its proposed draft, said: “The specialty occupation definition also clarifies that although the position may allow for a range of qualifying degree fields, each of the fields must be directly related to the duties of the position.”



This modifies the softening that was done by the Biden administration to mean that there must be a logical connection between the degree and job duties. The Trump administration emphasizes direct relation, instead of mere logical connection. This would restrict who can be hired for which role.

Cap exemptions

DHS plans to review and potentially narrow which employers and positions are exempt from the annual cap, affecting nonprofit research organizations, universities, and health care institutions that currently benefit from exemptions, Newsweek reported.

Scrutiny of third-party placements

Companies that place H-1B workers at other firms’ worksites, a common practice in the technology and consulting sectors, will come under more scrutiny.

Employer compliance

More scrutiny of companies that previously violated wage or labor condition rules.

Restrict employment-based green cards

This may stop employers use the O-1A visas and national interest waivers to hire high-skilled foreign nationals. O-1A visas are for individuals with an extraordinary ability in the sciences, education, business, or athletics (not including the arts, motion pictures or television industry).

The visa fee hike threw the IT companies into disarray initially, as companies rushed to call back all H-1Bs to the US. But the administration later clarified that it was for new petitions and now the fee has got legally challenged. Tech startups will have to hire American graduates as they cannot possibly pay $100,000 for foreign hirings but companies like Nvidia will not have much difficulty. Nvidia CEO Jensen Huang said his company will keep sponsoring H-1Bs and bear all related costs.