US Legislators Oppose the Fee Hike
Some members of the US Congress from both the Republican and Democratic parties have requested President Donald Trump and Commerce Secretary Lutnick to retract the move to raise the H-1B visa fee to $100,000. While writing, they commented that such a move might damage innovation and small firms in America.
Concerns Over Effect on Startups and Innovation
The legislators indicated that the increased fee will not curb H-1B visa abuse but will impact US startup firms. They clarified that most startups rely on talent from nations such as India. With the fee, small firms will desist from employing such talent because of budget constraints. They also cautioned that certain projects will be offshored as a consequence.
Large Companies vs. Small Businesses
The lawmakers said large companies may be able to pay the higher price tag, but small businesses will struggle to compete for talented employees. They added that these companies are responsible for a lot of the nation's innovation and that restricting their use of skilled workers would dampen economic growth.
Call for Balanced Reform of the H-1B System
The legislators recognized that there is a need for reforms to avoid abuse of the H-1B visa program. Yet, they insisted that a fee hike was not an equitable solution. They called for harsh penalties against outsourcing firms that displace American workers by hiring lower-paid foreign workers.
Importance of Skilled Immigrants for the US Economy
They noted that highly qualified immigrants have always been the strength of the US economy. These experts assist in increasing opportunities for American workers and technological advancements. The legislators called on the President to work with Congress to update the visa system.
White House Explanation and Legal Action
Following the initial announcement, the White House made it clear that the $100,000 fee would be a one-time payment upon application and not an annual payment. In response to criticism from business organizations, such as the US Chamber of Commerce, the Trump administration provided new guidelines. As per these rules, only those filing H-1B petitions directly from abroad are required to pay the $100,000 fee.
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