It appears like hiring H1-B visa workers is about to get an entire lot costlier.
President Donald Trump signed an government order on Friday that features modifications to the H1-B visa program, which many tech firms use to rent hundreds of expert international employees yearly.
The order consists of imposing an H1-B application charge of $100,000. The manager order stated the charge would have to be paid to ensure that functions to be thought of.
Commerce Secretary Howard Lutnick, who spoke alongside Trump within the Oval Workplace, stated it could be a yearly charge for firms that rent H1-B employees. Officers stated the charge would assist make sure the visa is used to usher in employees who’re truly very extremely expert and to not change American employees.
“Both the individual may be very beneficial to the corporate and America, or they are going to depart and the corporate goes to rent an American,” Lutnick stated, including the modifications would encourage firms to coach Individuals as a substitute of bringing in international employees.
He stated the charge would apply to new visas in addition to renewals.
In line with the chief order, the brand new charge requirement will take impact on September 21 and expire after one yr, pending an extension.
A number of the prime tech companies sponsoring H1-B visas embrace Amazon, Microsoft, Google’s mum or dad firm, Alphabet, Meta, and Apple. As a result of firms are required to speak in confidence to the federal government what they pay H1-B employees, the info has supplied insights into Big Tech salaries.
Trump calls out tech firms
In his government order, Trump known as out 4 tech firms that accredited hundreds of H-1B employees and in addition carried out layoffs. He didn’t identify them, although they’re doubtless Microsoft, Intel, Amazon, and Salesforce. Enterprise Insider has reached out to the White Home to verify this.
Trump wrote about “one software program firm” that introduced layoffs of over 15,000 workers, an “IT agency” that laid off 2,400 workers in Oregon in July, an organization that has lowered its workforce by 27,000 workers since 2022, and a fourth firm that eradicated 1,000 jobs in February.
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As Enterprise Insider has beforehand reported, Microsoft has stated it’ll shed about 15,000 workers this yr, and Amazon has lower a minimum of 27,000 workers since late 2022. Intel, which has beforehand discovered itself within the crosshairs of the Trump administration and can be getting a 9.9% stake from the federal government, has a significant presence in Oregon, the place it made cuts in July. The fourth firm that Trump referred to was doubtless Salesforce.
Gold Card visa
Trump additionally signed an government order on Friday establishing the “Gold Card” visa, an concept he floated earlier this yr that might enable rich foreigners to acquire residency in the USA for a excessive price.
The visa would enable rich people to pay $1 million for residency. Companies may sponsor people to get residency by paying a $2 million present beneath this system, in keeping with a brand new authorities web site detailing the “Trump Gold Card.”
Do you’ve got a narrative to share about H1-B visas? Contact this reporter at kvlamis@businessinsider.com.
