Trump’s $100,000 H-1B fee triggers major lawsuit from US Chamber of Commerce; here’s what’s at stake

The US Chamber of Commerce on Thursday filed a lawsuit challenging the Trump administration’s new $100,000 fee on H-1B visa petitions, calling it an unlawful and prohibitive measure that would make it harder for American businesses to hire skilled foreign workers.

In its complaint, the Chamber argued that the sharply increased fee violates the Immigration and Nationality Act, which requires that visa processing costs be based on actual government expenses rather than set arbitrarily.

The group said the new rule would particularly harm startups and small businesses that depend on global talent to expand operations in the United States.

“The new $100,000 visa fee will make it cost-prohibitive for US employers, especially start-ups and small and midsize businesses, to utilise the H-1B program,” said Neil Bradley, the Chamber’s executive vice president and chief policy officer.

The visa program was “created by Congress expressly to ensure that American businesses of all sizes can access the global talent they need to grow,” Bradley added.

President Donald Trump last month signed a proclamation requiring companies to pay the annual $100,000 fee when filing H-1B petitions. The measure, which took effect September 21, is part of the administration’s effort to tighten rules for high-skilled foreign workers.

The US Citizenship and Immigration Services (USCIS) has also proposed a weighted lottery system that would prioritise applications offering higher salaries.

Under the draft plan, petitions offering top-tier wages would be entered into the visa lottery up to four times, while those with the lowest pay would have only one chance.

The Chamber’s lawsuit marks its latest challenge against administration policies that it says restrict legal immigration programs authorised by Congress. The business group said it has filed 25 lawsuits since 2017 to contest executive actions it views as exceeding presidential authority.

Bradley said the Chamber supports President Trump’s pro-growth agenda, including tax reform and deregulation, but warned that limiting access to skilled workers could undercut those goals.

“Our economy will require more workers, not fewer,” he said. “With the border secure, we have a once-in-a-generation opportunity to accomplish targeted legal immigration reforms.”

The H-1B program, used heavily by technology firms, allows US companies to employ foreign workers in specialised fields such as engineering and information technology. Thousands of Indian professionals enter the United States under the program each year.

The administration’s move comes as lawmakers in Congress pursue their own efforts to overhaul work visa programs.

A bipartisan bill reintroduced by Senators Chuck Grassley, a Republican, and Dick Durbin, a Democrat, seeks to tighten wage and recruitment requirements and increase oversight of both H-1B and L-1 visas.

Durbin said the reforms are necessary to prevent companies from “replacing American workers with cheaper foreign labour,” while Grassley accused some firms of “abusing the programs” for cost-cutting.

The Chamber said it would continue to use “all available tools”, including advocacy and litigation, to ensure that immigration policies support business growth and job creation in the United States.