US President Donald Trump has extended by another 12 months a controversial $100,000 payment requirement imposed on certain H-1B visa applications, keeping the measure in place until September 21, 2027. The extension came just days before the original restriction was due to expire and as the policy continues to face legal challenges in US courts.
The H-1B programme allows US employers to hire foreign workers for speciality occupations requiring highly specialised knowledge. The visa is widely used by technology companies and other businesses to recruit skilled professionals from countries including India and China. Under the renewed proclamation, employers seeking to bring certain H-1B workers who are outside the United States will generally have to make a $100,000 payment along with the petition, subject to specified exemptions and national-interest exceptions.
Trump’s administration originally introduced the payment requirement in September 2025, arguing that the H-1B system had been misused by some employers and outsourcing companies to replace US workers with lower-paid foreign labour. The administration has maintained that the policy is intended to discourage what it describes as abusive recruitment practices and ensure that the programme serves highly skilled workers. The latest proclamation repeats those concerns and says the circumstances that prompted the original restrictions continue to exist.
According to the White House, the policy has already produced a significant change in H-1B registration patterns. The administration said registrations submitted by the largest IT staffing and outsourcing companies fell by 92% after the 2025 proclamation took effect. It said registrations from these firms declined from 24,946 to 2,055. The White House has attributed the change to the $100,000 payment requirement along with other changes to the H-1B selection system.
The administration has also pointed to a shift towards applicants with higher wages and educational qualifications. The White House said the proportion of FY2027 H-1B registrants holding at least a US master’s degree increased to 66.1%, compared with 45.1% for the previous fiscal year. It also said registrations associated with the two highest wage levels accounted for about 46.3% of selections, while those at the lowest wage level represented 17.8%.
The policy is particularly significant for Indian professionals because India remains the largest country-of-birth group among approved H-1B beneficiaries. US Citizenship and Immigration Services data for fiscal 2024 showed that people born in India accounted for about 71% of approved H-1B petitions, compared with roughly 12% for people born in China.
However, the future implementation of the $100,000 payment remains tied to ongoing litigation. A US federal district court had previously vacated the government’s guidance implementing the fee, and the administration has appealed that decision. A separate legal challenge involving the US Chamber of Commerce is also continuing. Reuters reported that a Boston appeals court is reviewing the government’s challenge to the earlier ruling blocking implementation of the fee.
The renewed proclamation does not mean that every H-1B worker or every existing visa holder will be subject to the $100,000 payment. The restriction specifically concerns certain workers outside the United States seeking entry through the H-1B programme. Existing H-1B holders and foreign graduates already in the US were among groups not covered by the original payment requirement, while visa renewals were also outside its scope.
Alongside the extension, Trump has issued a separate executive order directing greater scrutiny of H-1B applications. The order calls on the Departments of State, Labour and Homeland Security to consider whether an employer seeking H-1B workers has recently laid off, or plans to lay off, US employees working in similar positions. The agencies have also been directed to coordinate with other departments and gather information on wages, employment conditions and occupational specialisation.
The administration has said these additional measures are intended to strengthen oversight of the programme and prevent foreign workers from being used in circumstances where US employees could be displaced. The latest proclamation requires federal officials to review the restriction after the next H-1B lottery and recommend whether it should be extended or renewed again.
The extension also comes as the US Department of Homeland Security pursues a separate proposal involving an H-1B fee of about $103,265 under a different legal authority. That proposal is distinct from the $100,000 payment requirement renewed by Trump’s September 18 proclamation.
The continuation of the policy therefore leaves employers, technology companies and prospective foreign workers facing uncertainty while the legal challenges proceed. For Indian professionals in particular, the outcome of the court cases and the administration’s future decisions could have significant implications for companies sponsoring H-1B workers and for skilled professionals seeking to begin employment in the United States.
