Trump Introduces $100,000 H-1B Fee for Tech Hiring, Gold Visa for "Wealthy"

President of the United States of America, Donald Trump, has introduced stringent new measures aimed at prioritising highly skilled talent and protecting domestic jobs.

The centrepiece is a proclamation mandating a $100,000 annual fee for companies sponsoring H-1B visas, a program critical to the tech industry. This change, announced on September 19, 2025, is designed to curb what the administration calls widespread abuse and ensure foreign hires are truly exceptional, rather than substitutes for American workers.

Trump emphasised the need for top-tier talent during the signing ceremony, stating, "We need workers. We need great workers, and this pretty much ensures that that's what's going to happen." White House officials, including staff secretary Will Scharf, described the H-1B system as one of the most exploited in U.S. immigration, arguing the fee will force employers to seek irreplaceable experts and discourage wage suppression. The additional cost applies per worker for up to six years, on top of existing application fees, and could total hundreds of thousands per employee.

The H-1B visa, established in 1990, enables U.S. employers to recruit foreign professionals for specialised roles requiring at least a bachelor's degree, particularly in science, technology, engineering, and mathematics (STEM) fields where domestic talent is scarce. It allows temporary employment for an initial three years, extendable to six, with indefinite renewals possible for those pursuing permanent residency (Green Cards). Applications are submitted to the U.S.

Citizenship and Immigration Services (USCIS), where a lottery selects from the annual cap of 85,000 visas, 65,000 general plus 20,000 for advanced-degree holders. Approved holders must receive wages and conditions comparable to U.S. workers.

The Trump administration is also exploring revisions to the selection process to further emphasise wage levels and job needs, potentially reshaping how visas are awarded.

Indian nationals dominate the H-1B landscape, comprising 71% of approvals last year, far ahead of China's 11.7%, according to government statistics. Major tech firms like Amazon (over 12,000 approvals in early 2025), Microsoft, and Meta (each exceeding 5,000) rely heavily on these visas to staff cloud computing, software engineering, and other high-demand areas. The new fee—equivalent to over Rs 88 lakh—could exacerbate challenges for Indian applicants, who already face prolonged Green Card backlogs often spanning years or decades. Frequent renewals during waits would compound costs, potentially deterring talent and prompting companies to offshore roles or accelerate automation.

Industry voices, including venture capitalist Deedy Das, warn that the policy might stifle U.S. innovation by discouraging global expertise, while supporters like Commerce Secretary Howard Lutnick insist it will boost American training and wages.

Compounding these hurdles, the administration is reinstating a rigorous naturalisation exam first rolled out in 2020 but later dismantled under President Joe Biden. Effective for applications filed after October 20, 2025, the updated civics test draws from 128 questions on U.S. history, government, and civics—up from 100—requiring applicants to correctly answer 12 out of 20 orally. New topics include the Federalist Papers, the 10th Amendment, and figures like Dwight D. Eisenhower and Founding Fathers Alexander Hamilton and James Madison.

USCIS describes the changes as promoting deeper assimilation and understanding of American principles, with study materials available in multiple languages. Those 65 or older with 20+ years of residency qualify for a simplified version. Pass rates have historically hovered in the low 90th percentile, though native-born Americans often struggle with similar questions.

In a contrasting move to attract high-value contributors, Trump signed an executive order launching the "Trump Gold Card" program, offering expedited permanent residency and a citizenship pathway to affluent foreigners. Individuals pay $1 million, while businesses sponsoring employees cover $2 million, plus a $15,000 vetting fee—potentially generating billions for tax relief and debt reduction, per Trump. Up to 80,000 cards are available annually, replacing outdated employment-based Green Card categories that Lutnick criticised for admitting lower-wage earners (averaging $66,000) more prone to public assistance, five times the rate of native workers.

Lutnick highlighted that the program targets "extraordinary people at the very top" who create jobs and economic growth, dubbing the current system "illogical" as the only nation importing "bottom quartile" talent. A pricier "Platinum Card" at $5 million, exempting non-U.S. income taxes for up to 270 days annually, awaits congressional approval.