H-1B Program in 2025: What Employers and Skilled Workers Should Know

If you’re a startup hiring foreign talent, or a skilled professional planning to work in the U.S., it’s worth paying attention: the H-1B visa program is going through major changes in 2025. Some are already in effect; others are proposals that could reshape the way the program works. Here’s a clear breakdown.

What’s Already in Effect

A. The New $100,000 Fee for New H-1B Petitions

On 19 September 2025, Donald Trump signed a presidential proclamation requiring a $100,000 payment for new H-1B petitions filed on or after 12:01 a.m. EDT on 21 September 2025 for certain beneficiaries outside the U.S.

The rule states that H-1B specialty-occupation petitioners seeking new beneficiaries abroad must pay this fee, unless a national-interest exception applies.

Important clarifications arrived soon after. According to a White House fact sheet and reporting:

  • The fee applies only to new H-1B petitions for beneficiaries outside the U.S., not to existing H-1B visa holders or renewals.

  • The fee is not yet formally codified in a regulation; it is implemented via proclamation and is subject to legal challenge.

B. Legal Challenges Underway

The new fee has already triggered lawsuits:

  • On 3 October 2025, a coalition filed suit in the U.S. District Court for the Northern District of California, challenging the $100,000 fee as exceeding presidential authority.

  • On 16 October 2025, the U.S. Chamber of Commerce filed suit, stating the fee is “plainly unlawful” and threatens U.S. business competitiveness.

C. Proposed Shift to Wage-Based Selection (Lottery Reform)

In parallel, the Department of Homeland Security (DHS) and U.S. Citizenship and Immigration Services (USCIS) submitted a proposed rule to replace the random H-1B lottery with a “weighted selection process” that favours higher-wage offers.

If finalized, the change could take effect as early as the FY 2027 cap season (registrations in 2026) according to multiple sources.

What This Means Practically for You

For employers (especially startups) and skilled professionals, these shifts have real consequences.

For Employers

  • If hiring a new worker outside the U.S. under H-1B, you may face the $100k fee (unless exempt). That drastically increases the cost of an H-1B petition.

  • Even if you’re inside the U.S., change-of-status or extension petitions may avoid the fee — but you should seek legal advice to confirm eligibility.

  • If the wage-based lottery reform is finalized, you may need to offer higher wages to improve selection odds. That could squeeze startups with tight budgets.

  • Given the lawsuits and uncertain legal landscape, flexibility and contingency planning are key.

For Skilled Workers

  • If you’re an international professional considering an H-1B from abroad, timing matters: petitions filed after the fee’s effective date may be subject to the extra cost.

  • If you’re currently on another status in the U.S. (e.g., F-1 student) and seeking change to H-1B, you may avoid the fee — but this must be verified in your case.

  • The proposed move toward a wage-based system may advantage workers with higher salary offers or niche skills — but there’s no guarantee until the rule is final.

  • Uncertainty remains: legal challenges could delay or modify these changes. Staying updated is essential.

Why It’s Important

The H-1B program is often one of the most accessible pathways for U.S. employers to hire foreign talent in specialty occupations. For businesses in technology, engineering, and high-skilled services, the changes coming in 2025 reflect a major shift in how the U.S. manages this visa category.

For professionals considering relocation to the U.S., these changes underscore that immigration strategy must now consider not just eligibility, but cost, timing, employer readiness, and long-term planning.

What You Should Do Now

At Borderless Counsel, we advise the following steps:

  • Review your current or planned H-1B petition: If it’s for a beneficiary outside the U.S., factor in the $100k fee and assess potential exemptions.

  • Check if your worker is already inside the U.S. under another status — if so, an extension or change-of-status may help avoid the fee.

  • Consider wage strategy: If lottery reform is finalised, ensure wage offers are competitive and documented appropriately.

  • Monitor the lawsuits and regulation process: The fee and selection changes are subject to legal challenge and possible revision. Stay informed.

  • Plan alternatives: Explore other visa categories (e.g., L-1, O-1) or hiring strategies in case H-1B becomes less feasible for your situation.

Change is happening — quickly — in the H-1B space. Whether you’re a startup building your team or a talented individual seeking a U.S. role, staying ahead of policy shifts is more important than ever. The team at Borderless Counsel is here to help you navigate these developments with clarity and confidence.

If you’d like us to review your specific case or prepare you for an H-1B strategy under the 2025 regime, get in touch — we can help you understand the implications and plan accordingly.

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