Overview
Late Friday, September 19, 2025, President Trump issued a Presidential Proclamation titled "Restriction on Entry of Certain Nonimmigrant Workers." The Proclamation requires a $100,000 employer fee in connection with certain H-1B employment petitions. The policy is effective 12:01 AM ET on September 21, 2025, unless blocked or modified by litigation.
On September 20, 2025, The United States Citizenship and Immigration Service ("USCIS") issued a Policy Memorandum providing official interpretation and implementation guidance. (USCIS Policy Memo, H1B_Proc_Memo_FINAL, Sept. 20, 2025)
Key Clarifications from USCIS
- The $100,000 fee requirement applies only to new H-1B petitions filed on or after September 21, 2025.
- Petitions filed before the Effective Date are not subject to the fee.
- Beneficiaries of already approved petitions and individuals holding valid H-1B visas as of September 21, 2025 are not impacted, even if they travel or reenter the U.S. after that date.
- The Proclamation does not restrict travel or reentry for current H-1B visa holders with visas issued before the Effective Date.
- The fee applies only to new petition filings. Existing approvals and visas remain valid without retroactive application.
Scope and Duration
- The restriction is in place for an initial twelve (12) month period but may be extended.
- It applies primarily to foreign nationals abroad with new H-1B petitions filed after the Effective Date.
- Existing H-1B employees and their dependents with visas issued before September 21, 2025 are exempt.
- The Proclamation authorizes the Department of Homeland Security to grant national interest waivers for individuals, employers, or industries where H-1B employment is deemed essential and not a threat to U.S. security or welfare. The process to apply for such exceptions has not been announced.
Agency Implementation
- Department of Homeland Security ("DHS"): USCIS will not adjudicate H-1B petitions filed after September 21, 2025 unless the $100,000 fee accompanies the filing.
- Department of State ("DOS"): Ordered not to issue H-1B visas after the Effective Date unless documentation of the required payment accompanies the petition.
- Customs and Border Protection ("CBP"): Expected to verify compliance at ports of entry, which may lead to heightened questioning, delays, or refusals of admission. CBP has also stated via its most recent public message that it will implement the entry/admission verification in a manner consistent with the USCIS Policy Memorandum.
Remaining Uncertainties
Despite the clarifications, key questions remain:
- How the fee must be paid, documented, and verified by USCIS, DOS, and CBP.
- How "Change of Employer" or "Amended" H-1B petitions filed after the Effective Date will be treated if the beneficiary already holds a valid visa.
- Criteria and process for national interest exemptions.
- Timing and outcome of expected federal litigation, which may suspend or alter enforcement.
Impact on Employers and Employees
- New Petitions after Effective Date: Employers must budget for and include the $100,000 fee with filings.
- Existing H-1B Employees and Dependents: No fee required for travel, re-entry, renewals, or extensions if the petition or visa was approved before the Effective Date.
- Employees Abroad with Existing Visas: Can return without paying the fee; no need to rush to re-enter before the Effective Date.
Recommended Actions
- Plan Ahead for New Filings: For any H-1B petitions filed on or after September 21, 2025, employers must budget for the $100,000 fee. Begin evaluating whether a national interest waiver may apply and collect supporting documentation in advance.
- Cap-Exempt Petitions: Universities, nonprofits, and research institutions filing cap-exempt H-1B petitions should be especially vigilant. Because these petitions are often filed year-round, they will be among the first to encounter the new fee requirement immediately after the Effective Date.
- Track Ongoing Guidance and Litigation: Monitor forthcoming USCIS, DOS, and CBP guidance on fee payment procedures, national interest waiver standards, and documentation requirements. Watch for federal court challenges, which may alter or suspend enforcement with short notice.
The USCIS Policy Memorandum clarified that the scope of the $100,000 H-1B fee is narrower than initially expected. It affects only new petitions filed on or after September 21, 2025. Current H-1B visa holders and approved petitions are safe from the fee requirement, though employers should prepare for major cost implications for future hires.
