a breakdown of the h-1b changes — and why more changes could come

Proposed H-1B Visa Fee Increase and its Implications

Recently, former President Trump announced a proposed increase to the application fee for an H-1B visa, setting it at $100,000. This substantial cost increase generated considerable concern within the technology sector, which relies heavily on this visa category to attract international talent.

Discussion with Jeremy Neufeld

This week, on the Equity podcast, we interviewed Jeremy Neufeld, Director of Immigration Policy at the Institute for Progress. The discussion centered on the details of these visa modifications, their potential consequences, and the motivations behind them.

Neufeld acknowledged the rationale behind the visa changes, but expressed reservations about their execution. He stated that the implemented proposals contain “significant shortcomings.”

Potential for Unintended Consequences

According to Neufeld, some of the finalized proposals include loopholes or misprioritize key objectives. Consequently, he believes these changes may produce outcomes contrary to the Trump administration’s stated goals. He anticipates the changes will effectively function as “a substantial tax on attracting leading researchers globally.”

Support for Visa Changes

Despite the initial shock surrounding the fee increase, a segment of the population supports the proposed alterations. Neufeld explained that ensuring the 85,000 available H-1B visa slots are filled by highly qualified workers is a valid objective. He also noted the logic of implementing a fee to filter applicants and prioritize those most deserving of the visa.

Allegations of Visa Abuse

The conversation also addressed allegations of companies exploiting the visa program. However, Neufeld pointed out that existing loopholes within the changes remain problematic and difficult to overlook.

Further Visa Modifications

We further explored other changes to the visa program, including revised wage level requirements. The discussion also considered the Trump administration’s reasoning for these changes and the likelihood of additional modifications before the spring lottery. Neufeld also analyzed the potential impact on the international technology landscape and hiring practices.

“A significant number of individuals may be discouraged from pursuing opportunities in the United States,” Neufeld predicted.

Current Status and Future Outlook

Currently, considerable uncertainty surrounds nearly all aspects of this visa change. The proposed changes are presently in a “notice and comment period,” during which public feedback is being solicited. Given the widespread reaction to the proposed changes, further adjustments are anticipated.