Major Changes Expected in H-1B Visa Process Before $100,000 Fee Takes Effect in 2026:

The H-1B visa program, a key route for skilled foreign professionals to work in the United States, is set to undergo major changes before a controversial $100,000 fee comes into effect in February 2026. Howard Lutnick, U.S. Commerce Secretary, recently spoke out about the current H-1B process, calling it “just wrong” and saying that the system has been “butchered” since its inception in 1990. Under a recent policy move by the Trump administration, a steep $100,000 fee will be applied to new H-1B applications and renewals. However, the White House later clarified that existing H-1B visa holders will not be affected. They can continue to live in or travel in and out of the U.S. without paying this new fee. H-1B Lottery System Likely to Be Overhauled Lutnick criticized the current lottery-based system used to allocate H-1B visas, calling it “bizarre” and unfair. According to him, even top tech CEOs agree that the idea of picking skilled workers through a random draw doesn’t make sense. “The H-1B process is oversubscribed seven to ten times, and around 74% of the visas go to tech consulting,” he said. “Tech consultants are often working remotely from other countries. Do we really need to bring low-cost consultants and their families into the U.S.?” He suggested that only highly skilled, well-paid professionals—like doctors, educators, and senior engineers—should be given H-1B visas. “The U.S. should focus on quality over quantity. If a company wants to hire an engineer, it should be a highly paid, top-tier professional, not a cheap trainee,” he emphasized. $100,000 H-1B Fee: What to Expect As of now, the plan is to implement a $100,000 one-time fee for each new H-1B application or renewal starting in February 2026. Lutnick noted that this fee could act as a filter to reduce the number of low-cost applications that flood the system each year. “At least the program won’t be overrun,” he said, hinting that the fee could help prioritize only the most serious and qualified candidates. However, he also pointed out that between now and 2026, many changes could still be introduced. "My guess is there will be a significant number of adjustments before the new system goes live," Lutnick said. Project Firewall: Cracking Down on H-1B Abuse In tandem with these changes, the U.S. Department of Labor recently launched 'Project Firewall', a new initiative aimed at curbing abuse of the H-1B visa system. The project focuses on protecting the rights, wages, and job opportunities of American workers by ensuring that U.S. employers hire qualified American talent first. “Launching Project Firewall will help us ensure no employers are abusing H-1B visas at the expense of our workforce,” said U.S. Secretary of Labor Lori Chavez-DeRemer. “We’re committed to rooting out fraud and ensuring highly skilled jobs go to Americans first.” What It Means for the Future of H-1B While the H-1B visa has long been a gateway for foreign talent, especially in the tech industry, the new policy direction signals a major shift. The emphasis is now on quality, high wages, and protecting American jobs. The $100,000 fee, if implemented as planned, will likely reshape the H-1B landscape—favoring top-tier professionals and making it harder for staffing firms or low-cost tech consultants to gain entry into the U.S. job market. As February 2026 approaches, further updates and reforms are expected. Companies, applicants, and immigration attorneys will need to stay informed and prepare for a fundamentally different H-1B process in the near future.

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