Washington, August 25, 2026 (Yes Punjab News)
An Indian-American policy group has urged the US government to reconsider a proposed additional fee of $103,265 for cap-subject H-1B petitions, warning that the measure could make skilled hiring prohibitively expensive, hurt startups and push high-value jobs and investments overseas.
The Foundation for India and Indian Diaspora Studies (FIIDS) said the Department of Homeland Security (DHS) and US Citizenship and Immigration Services (USCIS) should adopt a more proportionate approach that protects American workers while preserving access to global talent.
DHS has proposed the $103,265 fee for all H-1B petitions subject to the annual cap, including those eligible for the advanced-degree exemption. The proposed charge would be in addition to existing fees and is intended to help recover federal costs associated with administering the legal immigration system.
FIIDS said such a steep additional cost could make legitimate recruitment economically unviable, particularly for cash-strapped startups. Large technology companies sponsoring hundreds or thousands of workers could also face substantial cumulative costs.
“If employing critical talent in the United States becomes substantially more expensive than hiring workers abroad, companies could move jobs and investments out of the country,” the organisation said.
FIIDS also raised concerns about the potential combined impact of the proposed H-1B fee and a separate proposed $100,000 fee affecting Optional Practical Training (OPT). It said the combined burden could reach $203,265, potentially weakening the pathway from international education to skilled employment in the US.
“We recognise that DHS and USCIS need adequate resources to protect national security, prevent fraud and administer legal immigration. But a $103,265 H-1B fee could choke cash-strapped startups,” said Khanderao Kand, chief of policy and strategy at FIIDS.
FIIDS said the proposed fee comes as the international student pipeline in the US is already showing signs of weakness. Citing Institute of International Education data, it said new international student enrolment fell 17 per cent in autumn 2025. It also cited a 2026 NAFSA outlook projecting up to 111,000 fewer international students, representing a possible 9.5 per cent decline and an economic loss of up to $3.4 billion.
The organisation said USCIS already receives about 96 per cent of its funding through fees paid by applicants and petitioners and urged Congress to consider existing revenue, appropriations and reasonable fees for immigration administration.
“Protecting American workers and maintaining America’s technological leadership must go hand in hand,” Kand said.
The H-1B programme enables US employers to hire foreign professionals in specialised occupations. Indian nationals have historically accounted for the largest share of H-1B beneficiaries, particularly in technology and other skilled sectors.
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