Twenty US States Sue Over $100K H-1B Visa Increase

A group of twenty US states is taking legal action against the Trump administration over the newly enforced $100,000 fee for H-1B visa applications. The states assert that this policy is not only unlawful but also poses a threat to critical public services such as education, healthcare, and scientific research.

The Department of Homeland Security's recent fee increase significantly raises costs for companies hiring skilled foreign workers, who are indispensable in sectors where talent shortages are already prominent, such as hospitals and educational institutions.

California's Attorney General Rob Bonta, who is spearheading the lawsuit, stressed that the fee exceeds the authority of the administration and imposes unwarranted financial strains on public employers. He cautioned that this move could exacerbate existing labor shortages in essential areas like healthcare and education.

Currently, employers dealing with H-1B petitions face fees ranging from $960 to $7,595. The new fee of $100,000 represents an unprecedented hike, with the states claiming it violates both the Administrative Procedure Act and the US Constitution.

Particularly impacted are the education and healthcare sectors. Nearly 75% of US school districts have reported challenges in filling roles for the 2024-2025 academic year—especially in areas like special education, science, ESL, and foreign languages. Thousands of healthcare workers, including doctors and surgeons, also depend on H-1B visas to respond to the increasing needs of the country.

The lawsuit, led by California and Massachusetts, includes the backing of 18 additional states. The attorneys general argue that the fee endangers public services, disrupts workforce stability, and oversteps congressional authority.

The H-1B program remains a vital avenue for attracting highly skilled professionals from around the world, especially in technology, healthcare, and higher education. The states contend that the newly imposed $100,000 fee could have enduring repercussions on the US economy and its capacity to draw in global talent.