US Chamber of Commerce Sues Trump Admin Over $100,000 H-1B Visa Levy
Business lobby says steep fee would cripple access to skilled foreign workers and drive up labour costs
Staff WriterOct 17, 2025, 7:15 AMThe largest US business lobbying group has filed a lawsuit challenging President Donald Trump’s new $100,000 fee on H-1B visas for highly skilled foreign workers.
The US Chamber of Commerce, which represents around 300,000 businesses, lodged the suit in a federal court in Washington, D.C., on Thursday. It marks the group’s first legal challenge against the Trump administration since the Republican president began his second term in January.
The H-1B programme allows US employers to hire foreign professionals in specialised fields, with the technology sector among its biggest users. Each year, the programme offers 65,000 visas, plus an additional 20,000 for applicants with advanced degrees, valid for between three and six years.
The Chamber said the new fee would force companies reliant on H-1B workers to either dramatically increase labour costs or cut back on skilled hiring.
“Many members of the US Chamber are bracing for the need to scale back or entirely walk away from the H-1B programme, to the detriment of their investors, customers, and their own existing employees,” the group said in its filing.
The new fee is also being contested in a separate lawsuit filed this month in a California federal court by unions, employers, and religious organisations.
Worker Replacement or Skills Gap Solution?
Critics of the H-1B and similar visa programmes argue they enable companies to replace American workers with cheaper foreign labour. However, business groups and major corporations insist that H-1Bs are essential for addressing shortages of qualified US workers.
Employers currently pay between $2,000 and $5,000 in visa-related fees, depending on company size and other factors. According to the Chamber, the average cost of an H-1B petition is under $3,600.
Under Trump’s new order, employers sponsoring H-1B applicants must make an additional $100,000 payment before new visa recipients can enter the United States. The rule will first apply to applicants selected in the annual H-1B lottery in March.
Trump invoked his authority under federal immigration law to justify the measure, arguing that the “large-scale replacement of American workers” through the H-1B programme poses a threat to the nation’s economic and national security.
But the Chamber contends that the new payment does not constitute an entry restriction, as it is paid by businesses, not visa applicants.
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