Trump Administration Announces New H-1B Scrutiny and Extends $100K Fee

President Trump has issued two new presidential actions affecting the H-1B visa program for high-skilled workers. The first is an Executive Order directing federal agencies to increase coordination and scrutiny in the administration of the H-1B program, particularly where sponsoring employers have recently conducted or are planning layoffs. The second is a Presidential Proclamation extending the administration’s $100,000 H-1B fee requirement for another year.

Increased Scrutiny of Employers with Recent or Planned Layoffs

The new Executive Order directs the Departments of Homeland Security (DHS), Labor (DOL), and State (DOS) to consider whether an H-1B sponsoring employer has conducted layoffs during the previous year, or plans future layoffs, that negatively affect similarly situated U.S. workers.

This consideration may arise at several stages of the H-1B process, including the review of Labor Condition Applications (LCAs), H-1B petitions, visa applications, and admission to the United States in H-1B status.

Employers that have had layoffs are not prohibited from sponsoring H-1B workers. However, employers with recent or planned workforce reductions should be prepared for those circumstances to receive greater attention when the government reviews their H-1B filings.

The Order also calls for greater coordination among federal agencies. DHS, DOL, and DOS are directed to consult with the Departments of Commerce and Education and the Small Business Administration, which may provide relevant information concerning wages, employment, academic credentials, industry conditions, and other economic factors.

In practice, this increased information sharing could allow agencies to evaluate H-1B filings alongside a broader range of information concerning an employer and its workforce. Employers should continue to ensure that information concerning job duties, wages, occupational classifications, work locations, and other employment conditions is accurate and consistent across immigration filings and other company records.

DOL Directed to Review Previously Filed LCAs

The Executive Order is not limited to future H-1B filings. Within 30 days, DOL's Wage and Hour Division must begin reviewing data related to previously submitted LCAs to determine whether further action against particular H-1B employers may be warranted under existing enforcement authority.

The scope and mechanics of these reviews remain unclear. However, the directive indicates that H-1B compliance and enforcement may increasingly involve review of previously filed cases rather than only petitions currently pending with the government.

Employers that have recently conducted layoffs should consider reviewing whether the affected positions are similar to positions currently held by, or being offered to, H-1B workers. Maintaining accurate LCA records and consistency among job descriptions, wage information, work locations, organizational records, and immigration filings will also become increasingly important as agencies begin implementing the Order.

Additional agency guidance is expected regarding how these directives will operate in practice.

$100,000 H-1B Fee Extended by Administration, but Remains Blocked by Court Order.

In a separate Proclamation issued the same day, President Trump extended the $100,000 fee for certain H-1B petitions for another year. The Proclamation extends this fee through September 21, 2027.

Importantly, however, the $100,000 payment requirement is not currently being enforced. 

For context, the $100,000 fee for new, consular processed H-1B petitions was first introduced in September 2025. On June 8, 2026, a federal district court vacated the fee and found it unlawful. Although the government appealed, the U.S. Court of Appeals denied its request on July 24, 2026 to keep the fee in effect while the appeal proceeds. USCIS subsequently confirmed that it would comply with the court's order and would not collect the $100,000 payment.  That said, while USCIS is currently complying with the court order and is not collecting the $100,000 fee, some immigration attorneys report that USCIS is sitting on these petitions and not adjudicating them. 

While the new Proclamation extends the administration's policy through September 2027, it does not restore the payment requirement while the appeal proceeds and the court order remains in place. The litigation is ongoing, and the fee could become required again if the current court order is lifted or reversed.

Please note that this $100,000 H-1B fee is separate from DHS's recently proposed $103,265 fee for cap-subject H-1B petitions. The $103,265 fee is currently only a proposed rule and is not in effect. DHS is accepting public comments on the proposal through tomorrow, September 24, 2026 (it has already received over 10,000 comments). It is possible that these two fees could be stacked, totaling $203,265 in additional filing fees for H-1B petitions filed for beneficiaries outside the United States. 

What Employers Should Know

President Trump’s new Executive Order does not itself establish new H-1B filing forms or documentary requirements. Its immediate significance is the direction it gives federal agencies to consider an employer's recent and planned layoffs, share additional economic and employment information across agencies, and review previously filed LCAs for potential enforcement action.

Employers with recent or anticipated layoffs should carefully review upcoming H-1B filings, particularly where the affected U.S. positions may be similar to positions held by or being offered to H-1B workers. Employers should also continue maintaining complete H-1B public access files and ensuring that immigration filings accurately reflect the terms and conditions of H-1B employment.

We will continue to monitor agency implementation of the Executive Order, the ongoing litigation concerning the $100,000 payment requirement, and DHS's separate proposed $103,265 H-1B fee, and will provide updates as additional guidance becomes available.

This alert is for informational purposes only. Please contact us if you would like to discuss these developments further.