US Congress Challenges Trump’s $100K H-1B Fee, Warns Policy Will Kill Innovation and Jobs

International News: A major political storm has erupted in Washington after seven US lawmakers, including Democrats and Republicans, challenged President Donald Trump’s plan to impose a $100,000 fee on new H-1B visa petitions. In a letter to Trump and Commerce Secretary Howard Lutnick, they warned that such a heavy fee would block start-ups, slow down American innovation, and drive skilled talent away to other countries. They stressed that America’s economy thrives on both local and global talent, and this rule would weaken that foundation.

Big Impact on Indians

The H-1B visa is the main route for Indian IT professionals, engineers, and researchers to work in the US. Nearly 60 percent of H-1B visas each year go to Indians. Lawmakers said the new policy will hurt thousands of Indian graduates and workers, especially those starting careers in technology, medicine, and research.

While the rule exempts those already in the US or switching from student visas, new applicants outside the country will face the burden of the massive fee.

Fee Policy Explained Clearly

According to USCIS guidance, any fresh H-1B petition filed for someone outside America would need the employer to pay $100,000 upfront. Refunds will be given only if the visa is denied. This means companies hiring skilled workers from India or elsewhere must pay in advance.

Lawmakers argued that large corporations may manage the cost, but small start-ups and research firms cannot afford such an amount. As a result, jobs could be cancelled and projects shifted abroad.

Lawmakers Warn of Job Loss

The Congress members, including Suhas Subramanyam and Jay Obernolte, warned that the fee will not stop misuse of the H-1B system. Instead, it will reduce jobs for Americans because start-ups that bring in foreign experts also hire local citizens in large numbers.

They argued that instead of blocking visas, reforms should target outsourcing firms that exploit loopholes and underpay workers. The $100,000 entry fee, they said, is a blunt weapon that will damage America’s long-term growth.

Global Competition Rising

The letter pointed out that other countries are opening doors to skilled workers. Canada promises quick visas for tech talent, Germany has signed a labour agreement with India, and China has launched a special “K” visa to attract engineers. If the US makes it too hard, talented people will move to these countries and compete directly with American firms. Lawmakers noted that nearly half of US billion-dollar start-ups were founded by immigrants, proving how vital global talent has been to America’s success.

Alternative Reforms Proposed

Instead of the steep fee, lawmakers suggested reforms such as stricter oversight of outsourcing firms, updating wage rules, making visas portable so workers can change jobs easily, and fairer fee structures. They argued that high-skilled immigrants bring patents, investments, and jobs to America. By discouraging them, the US risks losing its edge in technology, science, and research. They urged the President to modernize the visa system with smart reforms, not blunt restrictions.

Legal and Strategic Battle Ahead

The debate is not just political; it has entered the courts. Two lawsuits have been filed in US district courts to block Trump’s proclamation. For India, the outcome will shape the future of thousands of families and professionals aiming for opportunities in America. If the fee stands, many dreams may collapse; if it falls, the pathway remains open but still challenging. As lawmakers concluded, high-skilled immigrants are not a threat but a strength that keeps America competitive and innovative.