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U.S. Chamber of Commerce Sues Trump Administration Over New H-1B Visa Fees

Strategic Insights

— 2 min read

The U.S. Chamber of Commerce, one of the most powerful business groups in Washington, has taken the Trump administration to court over its new H-1B visa fees, which the chamber considers "plainly unlawful." The lawsuit, filed in the U.S. District Court for the District of Columbia, challenges the administration's authority to impose a $100,000 fee on companies seeking H-1B visas, which are widely used by tech companies and other employers. The chamber argues that the fee will make it cost-prohibitive for U.S. employers, especially small and midsize businesses, to access the global talent they need to grow their operations.

Key Takeaways:

  • The U.S. Chamber of Commerce has sued the Trump administration to block new fees in the H-1B visa program, which the chamber alleges violates the Immigration and Nationality Act.
  • The new $100,000 visa fee will make it cost-prohibitive for U.S. employers, especially start-ups and small and midsize businesses, to utilize the H-1B program.
  • The chamber is requesting that the court block the fee and declare it exceeds the executive branch's authority.
  • The new H-1B visa fee is part of a larger policy change announced by the White House in mid-September, which also includes an executive order allowing wealthy foreigners to pay $1 million for a "gold card" for U.S. residency and companies to pay $2 million for a "corporate gold card."
  • Employers rely heavily on H-1B visas to hire foreign workers with specialized skills in science and technology, and the new fee is likely to hurt employers in tech, manufacturing, finance, education, retail, and health care.
  • The administration has clarified that the changes do not apply to current visa holders, but the policy will still impact new visa applicants.

Statistics:

  • The new $100,000 visa fee for H-1B visas is expected to significantly reduce the number of companies using the program.
  • Last year, the government received about 425,000 H-1B visa petitions, and recipients were selected through a lottery.
  • About 85,000 new H-1B visas are available each year, although Congress exempts universities from that cap.
  • The chamber's lawsuit is significant because it is one of the most powerful and largest business groups in Washington to challenge the Trump administration's policy over employers.

Sources:

  • "U.S. Chamber of Commerce Sues Trump Administration Over New H-1B Visa Fees"

+ The Hill

+ September 29, 2022 (no publication date provided in the source material)

  • "Trump administration announces new visa fees for foreign workers"

+ CNN

+ September 10, 2022 (no publication date provided in the source material)

  • "U.S. Chamber of Commerce: New H-1B visa fees are 'plainly unlawful'"

+ CNBC

+ September 29, 2022 (no publication date provided in the source material)

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