The visa program that’s brought some of Silicon Valley’s best and brightest to the U.S. just got a ~1,900% price increase. Talk about inflation…
What happened: As of yesterday, new H-1B visa applicants will now have to pay a US$100,000 fee, adding a hefty price tag to the immigration pathway that U.S. companies have long relied on to bring in skilled foreign workers.
Why it’s happening: The move is aimed at boosting the number of high-paying tech jobs available to Americans. The Trump administration says the share of IT workers in the country carrying an H-1B visa has jumped from 32% in 2003 to over 65% today.
- The tech industry views the visa as essential to the U.S.’s tech dominance. Elon Musk, who came to the U.S. on an H-1B, previously said, “I will go to war on this issue the likes of which you cannot possibly comprehend.”
Catch-up: Just over 141,000 new H-1Bs were handed out last year, but over 780,000 entered the lottery for the visa that year. Given the uncertain odds of landing one, some immigration lawyers say that the six-figure application fee will essentially kill the program.
Why it matters: The change could attract more tech talent to Canada, which doesn’t have a limit on the number of high-skilled visas it gives out. With the U.S. adding a huge financial barrier to hiring foreign workers, global companies could start setting up more offices, infrastructure and R&D labs in Canadian cities.—LA