In a major relief for thousands of highly skilled immigrant employees in the United States, a federal court in Boston, Massachusetts, overturned the Trump administration’s increase in H-1B visa fees to $100,000, calling it illegal, contradicting a previous federal court ruling upholding the fee increase.
The new order contradicts a federal court ruling in Washington, D.C., that upheld the fees in a case brought by the U.S. Chamber of Commerce.
What is the H-1B visa?
According to the U.S. Department of Labor, the H-1B program applies to employers seeking to “hire nonimmigrant aliens as workers in specialized occupations or as models of outstanding merit and ability.”
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A specialty profession is one that requires “the application of a highly specialized body of knowledge and the attainment of at least a bachelor’s degree or equivalent.”
The Department of Labor says the intent of the H-1B provisions is “to assist employers who cannot obtain necessary trade skills and abilities from the U.S. workforce by permitting the temporary employment of qualified individuals who are not authorized to work in the United States.”
The H-1B program offers about 65,000 visas annually, with another 20,000 visas for workers with advanced degrees, according to a report by Reuters. These visas are approved for three to six years and need to be renewed.
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What are the $100,000 fees implemented by the Trump administration?
In September last year, US President Donald Trump raised the H-1B visa application fee to $100,000. These high fees were to be paid by employers who sponsor foreign employees with technical skills in the United States.
Before Trump announced the increase, employers seeking to hire foreign employees for a job requiring degrees and advanced skills typically paid between $2,000 and $5,000 depending on several factors.
Why did the new rule matter to the Indians?
The ruling issued by the Federal Court in Boston comes as a huge relief to Indians seeking to work in the United States. Indians make up a large portion of H-1B holders in the United States and were among the hardest hit communities when the fee increase was announced.
About 70 percent of H-1B visa holders in the United States are Indians, followed by Chinese, according to US administration data.
The program is also a reason for “the rise of Indian-Americans to the highest-educated and highest-income group — immigrants or natives — in the United States,” according to researchers who wrote “The Other One Percent,” a study of Indians in America.
The new ruling eliminates the high $100,000 fee while the previous fee remains in effect. This would make it easier for Indians seeking to work in the United States to realize their dream.
What’s next?
While the ruling has brought relief to foreign employers and employees alike, it may be temporary as a White House spokesperson hinted that the order will be appealed in an appeals court.
“The H-1B program has been abused for decades, and President Trump has finally taken action to fix it,” White House spokesman Taylor Rogers was quoted as saying by news agency PTI.
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He added, “A federal judge in Washington has already upheld an almost similar order, and the administration is confident that this order will be overturned on appeal.”
However, many US lawmakers, including Republicans, welcomed the ruling.
Indian diaspora groups were also happy with the move, but speculated whether this was the end of their struggles.
“All stakeholders associated with H-1B visas will breathe a sigh of relief after the court order, but one wonders if this is really the end of the matter,” Sanjeev Goshipora, CEO, Indiaspora, told PTI.
(with wire input)
