$100,000 H1B Visa Fee Chaos—Passengers Flee Planes To Avoid Leaving U.S. Under Illegal And Counterproductive Policy

When word got out about the Trump administration’s policy shift on H1B visas, current visa holders were on planes to travel out of the country and desperately insisted on getting off – concerned they might not be allowed back in. Companies were telling their successful H1B candidates to show up in the United States within 24 hours. It’s been chaos at airports.

Emirates out of San Francisco was delayed so passengers could get off.

Ladies and Gentlemen, this is the captain speaking. Due to the current circumstances obviously that are unprecedented for us at Emirates, we are aware that a number of passengers do not wish to travel with us, and that’s particularly fine.

Here was Microsoft’s warning to employees:

To foil Microsoft’s advice, for those trying to make it to the U.S. under the wire for the start of these fees, online activists tried to tie up remaining airline inventory for departing flights to block ticket purchases.

Skilled workers who follow the law are exactly whom the Trump administration has said that they want coming to the U.S.

While the H1B program itself doesn’t always perfectly align with its stated goals, we should want more bright minds from the rest of the world coming here, not fewer.

And the policy, as-announced, is unclear at best in terms of cost and frequency of payments or how broadly it applies. The administration has said it’s subject to discretion – they can exempt companies and industries – making it a scheme to reward favored supporters and punish opponents (cronyist industrial policy).

With unemployment running at 4.3%, these workers aren’t ‘taking American jobs’. In fact, research shows that a company that gains access to global talent through the H1B program wins. (HT: Marginal Revolution).

  • Since there are only a limited number of 3-year H1B visas (renewable for a second 3 years), and demand exceeds supply, we can look at the performance of companies getting lucky securing H1B workers versus those trying to sponsor them but that aren’t selected.

  • And winning the H1-B lottery makes a big difference in firm outcomes (which means firms can’t just hire U.S. workers and get the same outcomes). In fact, for 2,000 tech startups that are studied, one extra high-skilled worker increases the likelihood of a successful IPO within 5 years by 23%.

    We find that a firm’s win rate in the H-1B visa lottery is strongly related to the firm’s outcomes over the following three years. Relative to ex ante similar firms that also applied for H-1B visas, firms with higher win rates in the lottery are more likely to receive additional external funding and have an IPO or be acquired. Firms with higher win rates also become more likely to secure funding from high-reputation VCs, and receive more patents and more patent citations. Overall, the results show that access to skilled foreign workers has a strong positive effect on firm-level measures of success.

The administration today clarified and walked back the fee slightly, stating that it won’t apply to existing H1B holders. Still, it’s a strategic gift to Canada.

And to be clear, the $100,000 H1B Visa fee is not legal. No law supports it and there’s been no administrative rulemaking. President Trump signed a proclamation announcing the fee, effective September 21, 2025.

  • Fees for visas and immigration are set by Congress and agencies acting under laws passed by congress. No law gives the President or Department of Homeland Security discretion for this. There is explicitly a fee schedule for the H1B program that’s been set legally. And there’s no grounds for arguing that the $100,000 fee is related to the cost of the program. The executive branch can only set fees to recover costs under 8 U.S.C. § 1356(m).

  • A shift in skilled immigration policy of this magnitude likely qualifies as a ‘major question’ that the Supreme Court has made clear falls under the purview of Congress (see broadly, West Virginia v. EPA and Biden v. Nebraska).

  • If this is merely a rulemaking, though, it would have to follow the Administrative Procedures Act including notice nad comment (or outline how it’s exempt), avoid arbitrary and capricious decision making (tough for a suddent $100,000 fee) and stay within authority granted by statute (which this clearly is not).

At best the administration might argue that the President has broad authority under 8 U.S.C. § 1182(f) to “suspend the entry of any class of aliens” or impose restrictions on entry – but this is a visa program fee, not the suspension of entry or a restriction on entry and doing so in contravention to fees that have already been set in line with statute. Courts have upheld suspending entry (e.g. Trump v. Hawaii) and to require private health insurance proof (Doe v. Trump), but not to specify price of entry.

Like the tariffs that have lost in court in every decision so far and will go before the Supreme Court for oral argument in November (I’m predicting a 6-3 loss for the administration), this policy is probably illegal but will cause significant disruption before that’s finally adjudicated.

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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Comments

  1. So… are these US companies and their billionaires going to start hiring and paying US citizens, or… are they just gonna continue laying off everyone, doing stock buybacks, and… oh, yeah… the latter.

  2. The sad thing is H-1B workers are needed because American youngsters are taking drugs, not being proficient in math or science or even English literature.

    American youngster should just roll up their sleeves and get polio and measles vaccines, study hard, major in a real field with a career, not a joke field, and learn math and science. H-1B workers should be picking strawberries, doing yard work, and installing roofs.

  3. I’m surprised with this fascist regime that they didn’t dispatch ICE to the airports to detain anyone getting off the planes. felon47 wants his money, and holding those passengers hostage until they paid is totally in his MO.

  4. Notice that he did not impose the same fee on the H 2b visa program.

    In August 2025, it was reported that Mar-a-Lago was approved for up to 170 H-2B visas for the fiscal year. Records show this is the most requested by the club in the past decade.

  5. Notice that there is no outrageous fee for the H 2b visa program.

    In August 2025, it was reported that Mar-a-Lago was approved for up to 170 H-2B visas for the fiscal year. Records show this is the most requested by the club in the past decade.

  6. Without remarking on this specific act or the actions of the President I can tell you, as someone with a 40 year IT career and degree in Computet Science, that the H1B program does hurt US citizens. Sure there are some roles it may make sense to import but typically H1B employees make less than a comparable US citizen and, trust me, there are plenty of bright US citizens graduating from our colleges with tech degrees.

    Kinda neutral on this since definitely support hiring skilled US citizens over cheaper Indian nationals. Worked with a lot of Indian citizens and found them, as a rule, to be good people and employees but still taking away a job from a US citizen.

  7. When will people get it? It’s very simple.

    1) NO non-American should be permitted to work in America. Period. This is OUR country, and these are OUR jobs.

    2) NO company in America should be allowed to sell any product not made in America from American materials. If it’s not made in America, we don’t want it.

    3) NO visitor to America should be permitted to criticize America in any way. If you don’t like it, GET OUT.

  8. @derek — No, American ‘youngsters’ are not drug addicts, and they are smart, fully capable of these jobs; it’s that these greedy billionaires and their corporations would rather have these modern-day indentured-servants on metaphorical leashes (the visas tied to the company) who they can pay pennies on the dollar and over-work like dogs. Still, for those immigrants, they are relatively ‘lucky’ as even those lesser wages are far more than they’d typically make back home. Be real.

  9. @Tom — Horrible take. None of that is practical, especially in the modern, globalized word that we, the USA, literally set up. Also, you’re suggesting we violate the US Constitution by limiting free speech; the Bill of Rights is part of what makes our country actually ‘great,’ lest we forget.

  10. And, fellas, generally, you can try to make this about race, ethnicity, country of origin, religion, or any other identifier… doesn’t change the fact that no American company is significantly returning any manufacturing or product stateside yet… they’re literally just waiting #47 out… hoping to ‘stay low’ and not be ‘targeted’ by his goons… while these tariffs hurt their bottom lines. The only thing I see ever getting these billionaires in-line is to do it like Putin does in Russia… mafia style… open windows… not good. But, that’s what we’re starting to look like. Again, not my preference, and that kind of generalized corruption and cruelty only benefits the dictator, not the people.

  11. And where are the ‘free market’ folks to explain the recent forced-sale of Intel to this government? Psh, between that, the overwhelming regulatory capture in many industries, as well as the outright monopolistic behavior in others… things are not looking great these days, especially not for the ‘little guy,’ the consumers, the small business owners, the farmers… like, yikes, guys… hope the stock market isn’t a bubble… boy, that’d be bad, too, eh?

  12. liberals always think they are the smartest. Gary believes those who proposed this positive change to stop abuse of H1B visa are idiots.

    Here are facts H1B visa just like B1/B2 tourist visa is heavily abused. Not only they overstay, many who come on H1B visas from India and pakistan are illiterates.
    They work with rich indians in US and pay thousands to help obtain such visas and those visa applicants pay BANKS and COLLEGES bribes to get Bank balance document and college degree documents. They use those documents to obtain Visas at the US consulate in their home country. So many indians that work at 711 and gas stations and convenient stores enter the US on thsoe H1B visas.

  13. liberals always think they are the smartest. Gary believes those who proposed this positive change to stop abuse of H1B visa are idiots.

    Here are facts H1B visa just like B1/B2 tourist visa is heavily abused. Not only they overstay, many who come on H1B visas from India and pakistan are illiterates.
    They work with rich indians in US and pay thousands to help obtain such visas and those visa applicants pay BANKS and COLLEGES bribes to get Bank balance document and college degree documents. In third world countries, you can get get anything including death certificates and can bribe any government officials to get what you want. They use those documents to obtain Visas at the US consulate in their home country. So many indians that work at 711 and gas stations and convenient stores enter the US on those H1B visas.

  14. @ Tom — I guess next all the black people who were forcibly brought here as slave labor and all of their descendants will need to go? You know, they are taking away OUR jobs, and all.

  15. @Steve M. — You’re welcome, I guess, if this leads to the ‘best and brightest’ going there instead of here. However, your country also has to deal with apparent abuses of similar visa programs, as well as foreign investors buying up much of your real estate, at least in the major cities. (Mostly wealthy Chinese and Indians.) And, yet, you, like we, have the same relative affordability issues, a lack of high-paying jobs and housing in high-demand areas. Same in the UK, AU, etc. At least CA and the others have a more vibrant social safety net with actual universal healthcare, paid leave, and leaders who aren’t authoritarians. Nowhere is perfect. But, that’s sure seems nice. (Just a little cold, eh?)

  16. @ Tom — Unless you are running your own company, these aren’t “YOUR” jobs. You sound like a typical psychophant, uneducated low-IQ fascist. Since you can’t succeed on your own, you need to blame all the smart, gay/female, brown people for your miserable existence.

  17. @ 1990 — You HOPE the stockmarket isn’t a bubble. Please dont male me laugh. AI, Crypto, and Orange Guy are the biggest scam in world history. A little inveator named Charlie Munger called crypto “rat poison squared”…

  18. The H1B visa program is supposed to be for workers with specialty skills or abilities. While I am pretty sure it is used for those workers, it probably has many H1B visa holders who have skills or abilities that are comparable to those of American citizens, especially those who have recently graduated with degrees in engineering and computer science. If more American citizens are needed with those skills, maybe colleges and universities need to attract more American citizens into high ranked education for those positions.

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