Trump imposes $100,000-a-year fee on H-1B visas, introduces 'gold card' program

President Donald Trump signed two executive orders Friday aimed at reshaping how the United States awards high-skilled visas, introducing a mandatory $100,000 annual payment for new H-1B visa applicants and creating a separate program described as a “gold card” to fast-track certain visas for individuals willing to make substantial financial gifts. The actions, which take effect Sept. 21, represent the most aggressive push yet in Trump’s second-term immigration crackdown and could alter the flow of skilled workers, including engineers and software developers, into American companies.

The new framework would require companies to remit up to $100,000 per applicant each year for up to six years as a condition of certification for new H-1B petitions. Separately, the administration unveiled a gold-card program intended to expedite visa processing for those able to contribute a minimum gift, with the program marketed as a way to ensure entrants are “highly valuable” rather than interchangeable. The administration described the gold card as a mechanism to attract world-class talent, while insisting the payments would help fund the system and ensure the visas go to individuals who offer exceptional value to the U.S. economy. In remarks at the White House, Commerce Secretary Howard Lutnick framed the changes as a selection mechanism: “The company needs to decide… is the person valuable enough to have a $100,000-a-year payment to the government, or they should head home, and they should go hire an American.”

The U.S. has long used the H-1B program to admit workers in specialty occupations, typically requiring at least a bachelor’s degree. The program, however, has faced persistent criticism from some lawmakers who say it depresses wages or displaces American workers, while business groups have argued it is essential for filling shortages in technology and engineering fields. Under current rules, roughly 85,000 H-1B visas are issued annually through a lottery system, with India accounting for a large share of recipients. Data from the U.S. Citizenship and Immigration Services indicate that applications for the upcoming fiscal year ran around 359,000 — the lowest level in four years, though still well above the annual cap — raising questions about how the new fees might affect demand.

Industry reaction appeared mixed. Nasscom, India’s leading technology association, cautioned that the hefty annual fee could disrupt business continuity for onshore projects and create uncertainty for tech firms and workers worldwide. The organization noted that the six-year payment timeline would be a major adjustment for large employers with long-standing visa programs. In contrast, several corporate executives and allies of the administration argued the changes would ensure that only highly skilled workers with clear value would be admitted, helping American workers in the long run.

Amazon, Tata, Microsoft, Meta, Apple and Google have historically been among the largest beneficiaries of the H-1B program. In the previous fiscal year, Amazon led the roster of employers using the visa program, followed by Tata and several other large tech and manufacturing companies. An internal advisory seen by Business Insider indicated that Amazon told employees with H-1B status to remain in the United States and avoid re-entry if possible once the policy took effect, signaling the practical disruption the policy could cause for multinationals with global staffing models.

The policy lands amid a broader political debate over immigration and the balance between protecting American workers and attracting global talent. Trump has long signaled a harder line on immigration, though he has pivoted at times in public remarks toward a more pro-visa stance. In December, during a previous exchange about H-1B policy, he said he had “always liked the visas” and that the program could be a useful tool when used appropriately, a stance that contrasted with calls from labor advocates who argued for stricter controls. His second-term push appears to reflect a more sweeping approach to visa policy, even as it risks drawing legal challenges and pushback from corporate leaders who rely on these workers to drive innovation and meet demand in fields like software development, biotechnology and engineering.

Elon Musk, a principal figure in the tech sector and a frequent critic of immigration restrictions, has been a vocal advocate for H-1B visas in the past and was himself a beneficiary of the program when he arrived in the United States. Musk has previously pledged to engage in political battles with MAGA Republicans over visa policy and has argued that H-1B workers contribute to American competitiveness. His public statements on the issue, including remarks following Vivek Ramaswamy’s comments about American culture and the ability to attract skilled labor, reflect the high-stakes nature of the debate in the tech world. Musk’s responses on X (formerly Twitter) to policy proposals and to critics have at times been sharply worded, though some of his posts were later deleted. The policy change comes as the second term intensifies the administration’s focus on overhauling immigration policy, including how the country balances national labor needs with the goals of encouraging global talent and investment.

The shift also raises questions for tech giants and startups alike about how to plan workforce strategy under a regime of higher costs for foreign workers. Proponents say the fees will ensure that entrants are highly skilled and non-substitutable by American workers, while critics warn they could slow hiring, reduce international collaboration and hamper competitiveness in sectors that rely heavily on specialized expertise. Industry groups and employers may seek to challenge the rules in court or through regulatory processes, arguing that the new financial barrier discourages critical talent from applying and undermines long-standing labor-market dynamics.

The White House has framed the action as a necessary step to protect American workers and to ensure that the immigration system serves national interests. Critics, however, warn that the policy could disproportionately affect mid-sized tech firms, startups, and research institutions that rely on H-1B personnel to maintain continuity in complex projects. The administration has said it will provide guidance on how the new programs interact with existing wage and labor protections, but details on enforcement, exemptions, and how the gold-card mechanism would operate at scale remain to be clarified as the Sept. 21 implementation date approaches.

As the policy roll-out unfolds, the tech industry and immigrant communities will watch closely how employers adjust to the higher costs, potential limitations on hiring timelines, and the possibility of more rapid changes to visa categories and eligibility criteria. The debate is likely to intensify ahead of midterm elections, with lawmakers weighing the administration’s claims about national competitiveness against concerns about workers’ rights, wage levels and the global talent pool central to America’s innovation ecosystem.