A coalition of 20 Democratic-led states headed by California filed suit in federal court in Boston on December 12 challenging the Trump administration’s plan to charge employers a $100,000 filing fee for every new H-1B petition. The fee—announced in September and slated to take effect with the FY-2027 cap season—would replace the current $460 base filing fee and the $4,000 fraud-prevention surcharge for large companies. State attorneys general argue that immigration law allows U.S. Citizenship and Immigration Services (USCIS) to recover only the government’s processing costs, not to generate revenue or deter use of the visa. They estimate that the new fee is roughly 250 times higher than the agency’s own cost projections.
The complaint warns of severe labor-market consequences. California Attorney General Rob Bonta noted that nearly one-quarter of the state’s physicians, 45 percent of software engineers in Silicon Valley, and thousands of public-school teachers rely on the H-1B program. "Charging $100,000 per worker would cripple hospitals, classrooms, and start-ups alike," Bonta said at a press conference. Several university systems joined an amicus brief, claiming the rule would undermine research funding and international collaboration.
Amid this uncertainty, employers and foreign professionals can streamline their visa planning through VisaHQ, which offers step-by-step guidance, document checklists, and real-time application tracking for U.S. work visas. The platform’s dedicated H-1B section (https://www.visahq.com/united-states/) helps users assess eligibility, understand fee structures, and explore alternative categories such as L-1 or O-1, reducing administrative burden at a critical time.
![20 U.S. States Sue to Block Trump Administration’s $100,000 H-1B Visa Fee]()
Business groups have already filed parallel challenges. The U.S. Chamber of Commerce argues that only Congress can impose revenue-raising fees and that the rule violates the Administrative Procedure Act because USCIS provided no economic impact analysis. Tech giants including Google and Microsoft have signaled support for the litigation, stating that they may relocate high-end R&D roles offshore if the fee proceeds.
For employers preparing for next spring’s H-1B lottery, the lawsuit creates uncertainty. Unless a nationwide injunction is issued, USCIS says it will open the H-1B registration window on March 3 with the new fee in place. Companies are being advised to budget contingencies and consider alternative visa strategies (e.g., L-1, O-1, TN) for key talent.
The legal battle also sets up a broader fight over the administration’s stated goal of reducing temporary work visas by 60 percent over four years. Observers expect the case to reach the Supreme Court well before that target date, making it a bellwether for future employment-based immigration policy.
The complaint warns of severe labor-market consequences. California Attorney General Rob Bonta noted that nearly one-quarter of the state’s physicians, 45 percent of software engineers in Silicon Valley, and thousands of public-school teachers rely on the H-1B program. "Charging $100,000 per worker would cripple hospitals, classrooms, and start-ups alike," Bonta said at a press conference. Several university systems joined an amicus brief, claiming the rule would undermine research funding and international collaboration.
Amid this uncertainty, employers and foreign professionals can streamline their visa planning through VisaHQ, which offers step-by-step guidance, document checklists, and real-time application tracking for U.S. work visas. The platform’s dedicated H-1B section (https://www.visahq.com/united-states/) helps users assess eligibility, understand fee structures, and explore alternative categories such as L-1 or O-1, reducing administrative burden at a critical time.
Business groups have already filed parallel challenges. The U.S. Chamber of Commerce argues that only Congress can impose revenue-raising fees and that the rule violates the Administrative Procedure Act because USCIS provided no economic impact analysis. Tech giants including Google and Microsoft have signaled support for the litigation, stating that they may relocate high-end R&D roles offshore if the fee proceeds.
For employers preparing for next spring’s H-1B lottery, the lawsuit creates uncertainty. Unless a nationwide injunction is issued, USCIS says it will open the H-1B registration window on March 3 with the new fee in place. Companies are being advised to budget contingencies and consider alternative visa strategies (e.g., L-1, O-1, TN) for key talent.
The legal battle also sets up a broader fight over the administration’s stated goal of reducing temporary work visas by 60 percent over four years. Observers expect the case to reach the Supreme Court well before that target date, making it a bellwether for future employment-based immigration policy.
