In response to President Trump's recent proclamation imposing a $100,000 fee on H-1B visa applications, Microsoft has advised its H-1B and H-4 visa employees currently abroad to return to the United States immediately, with a deadline of tomorrow, September 21. The internal email, as reported by Reuters, also recommended that H-1B and H-4 visa holders already in the U.S. remain in the country for the "foreseeable future".
The announcement from Microsoft is among the first reactions from a major tech company following concerns about how the increased fee could impact the IT sector. Similarly, JPMorgan's outside immigration counsel has advised H-1B visa holders to stay in the United States and avoid international travel until further guidance is available. Microsoft is reportedly tracking employees outside the U.S. and acknowledges the limited time for making sudden travel arrangements.
Trump's administration has justified the new measure as a means to limit the H-1B program to only highly skilled foreign workers, with the aim of creating and protecting jobs for American workers. Commerce Secretary Howard Lutnick stated the new rules are a corrective measure because previous visa policies allowed workers earning below-average salaries, many of whom relied on government assistance, to enter the country. The executive order imposing the $100,000 fee took effect September 21 and will remain in place for one year.
The H-1B visa program was created in 1990 to allow companies to employ foreign workers in specialized occupations that require theoretical or technical expertise. The U.S. grants 65,000 H-1B visas each year, with an additional 20,000 visas for those with advanced degrees. Indians account for over 70 percent of H-1B holders and are expected to be most affected by the new fee.
Some immigration lawyers believe the $100,000 fee could face legal challenges and may limit job mobility, increase renewal costs, and encourage workers to consider opportunities in other countries, such as Canada, the UK, the UAE, or Saudi Arabia. Critics, such as Vice President JD Vance, have also criticized tech firms for seeking foreign visas while simultaneously laying off American workers.
