**How Trump’s H-1B Fee Hike Could Affect the US Healthcare System**
*By Akash Pandey | Sep 20, 2025, 05:03 PM*

The Trump administration has announced a staggering increase in the annual fee for H-1B visas, raising it by $100,000. This move is poised to have severe implications for the US healthcare system, where over 30% of medical residents are international graduates.

Currently, approximately 10,000 out of 43,000 residency spots are occupied by H-1B visa holders. With the visa fee surge—from less than $5,000 to an eye-watering $100,000—many hospitals may find it economically unfeasible to sponsor these visas for medical residents, who earn an average annual salary of around $55,000. This could exacerbate existing staffing shortages and ultimately compromise patient care. As Commerce Secretary Howard Lutnick noted, “No longer will you put trainees on an H-1B visa—it’s just not economic anymore.”

### Visa Costs Surge, Risking Patient Care

The dramatic hike in fees significantly raises costs for employers. It is expected to make the H-1B program viable only for high-value roles, rather than entry-level or trainee positions. Officials have yet to clarify whether the $100,000 fee will be charged upfront or annually. Meanwhile, visa quotas remain unchanged at 65,000 for regular applicants and 20,000 for advanced degree holders. However, the soaring costs are anticipated to cause a sharp decline in applications.

### Impact on Businesses and IT Firms

India remains the largest beneficiary of H-1B visas, accounting for 71% of approvals last year. The fee increase will likely impact IT companies such as Infosys, TCS, and Wipro, which frequently send junior and mid-level engineers to the US for projects.

According to recent data, Amazon leads with 10,044 H-1B visa holders, followed by TCS (5,505), Microsoft (5,189), Meta (5,123), Apple (4,202), Google (4,181), Deloitte (2,353), Infosys (2,004), Wipro (1,523), and Tech Mahindra Americas (951).

### Opposition and Criticism

The policy has drawn sharp criticism from US lawmakers and immigration advocates. Congressman Raja Krishnamoorthi described the fee hike as “reckless,” warning that it risks cutting the US off from high-skilled talent essential for innovation and job creation.

Ajay Bhutoria, a former advisor to President Joe Biden, added that the increase could “crush small businesses and start-ups reliant on diverse talent.” He also cautioned that it might drive skilled workers to Canada or Europe, thereby weakening America’s competitive edge globally.

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The Trump administration’s hefty H-1B fee increase could thus have far-reaching consequences—not only for the US healthcare system struggling with staff shortages but also for the broader economy and the country’s position as a hub for global talent.
https://www.newsbytesapp.com/news/world/us-healthcare-braces-for-impact-as-trump-hikes-h-1b-fee/story

**How Trump’s H-1B Fee Hike Could Affect the US Healthcare System**
*By Akash Pandey | Sep 20, 2025, 05:03 PM*

The Trump administration has announced a staggering increase in the annual fee for H-1B visas, raising it by $100,000. This drastic move is expected to have severe implications for the US healthcare system, where over 30% of medical residents are international graduates.

Currently, around 10,000 out of 43,000 residency positions are occupied by H-1B visa holders. With the new fee hike, hospitals may find it financially unfeasible to sponsor these visas for residents earning an annual salary of approximately $55,000. This could intensify the existing staffing shortages and ultimately compromise patient care.

**Staffing Crisis: Visa Costs Surge, Risking Patient Care**

Previously, H-1B visa fees were less than $5,000. Commerce Secretary Howard Lutnick commented on the change, saying, “No longer will you put trainees on an H-1B visa — it’s just not economic anymore.” The increase poses a significant challenge to hospitals that rely on international medical graduates to fill crucial residency roles.

**Application Impact: Program Now Feasible Only for High-Value Roles**

The policy raises costs so substantially that the H-1B program may now only be viable for high-value roles. It remains unclear whether the $100,000 fee will be charged upfront or on an annual basis. While visa quotas remain unchanged—65,000 for regular applicants and 20,000 for advanced degree holders—officials expect a sharp decline in applications due to the prohibitive costs.

**Business Impact: IT Firms Likely to Be Most Affected**

India, which accounted for 71% of H-1B approvals last year, stands to be heavily impacted. Major IT firms like Infosys, TCS, and Wipro, which send large numbers of junior and mid-level engineers to the US, may face significant challenges under the new fee structure.

To illustrate, Amazon leads with 10,044 H-1B visa holders, followed by TCS (5,505), Microsoft (5,189), Meta (5,123), Apple (4,202), Google (4,181), Deloitte (2,353), Infosys (2,004), Wipro (1,523), and Tech Mahindra Americas (951).

**Opposition Response: Policy Draws Criticism**

The fee hike has sparked criticism from US lawmakers and immigration advocates. Congressman Raja Krishnamoorthi described the policy as “reckless,” warning that it could cut the US off from high-skilled talent essential for innovation and job creation.

Ajay Bhutoria, former advisor to President Joe Biden, cautioned that the increase might “crush small businesses and start-ups reliant on diverse talent” and push skilled workers to seek opportunities in Canada or Europe. This, he warned, could weaken America’s competitive edge in the global market.

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The $100,000 H-1B visa fee hike represents a significant shift in immigration policy with far-reaching consequences, particularly for the US healthcare and IT sectors. Its full impact remains to be seen but is expected to challenge both employers and skilled foreign workers across the country.
https://www.newsbytesapp.com/news/world/us-healthcare-braces-for-impact-as-trump-hikes-h-1b-fee/story

**How Trump’s H-1B Fee Hike Could Affect the US Healthcare System**
*By Akash Pandey | Sep 20, 2025, 05:03 PM*

—

The Trump administration has announced a staggering increase in the annual fee for H-1B visas, raising it by $100,000. This unprecedented hike is expected to have severe implications for the US healthcare system, where over 30% of medical residents are international graduates.

Currently, approximately 10,000 out of 43,000 residency positions in the United States are occupied by H-1B visa holders. With the new fee soaring from less than $5,000 to $100,000 annually, hospitals may be deterred from sponsoring these visas for residents who earn an average salary of around $55,000. This change threatens to exacerbate the existing staffing shortages in the healthcare sector, potentially compromising patient care.

“No longer will you put trainees on an H-1B visa — it’s just not economic anymore,” said Commerce Secretary Howard Lutnick, highlighting the financial strain the fee hike places on medical institutions.

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### Impact on the H-1B Program

The drastic increase in visa fees makes the H-1B program financially feasible only for high-value roles, effectively sidelining many junior and mid-level workers. While the administration has not yet clarified if the new $100,000 fee will be charged upfront or annually, officials anticipate a significant decline in application volumes.

Notably, visa quotas remain unchanged, with 65,000 regular H-1B visa spots and 20,000 reserved for advanced degree holders. However, the soaring costs raise questions about how many employers will continue to utilize the program.

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### Business and Industry Effects

India remains the largest beneficiary of H-1B visas, accounting for 71% of approvals last year. The fee hike is likely to impact major IT firms such as Infosys, Tata Consultancy Services (TCS), and Wipro, which send numerous junior and mid-level engineers to the US for ongoing projects.

Leading companies by number of H-1B visa holders include:

– Amazon: 10,044
– TCS: 5,505
– Microsoft: 5,189
– Meta: 5,123
– Apple: 4,202
– Google: 4,181
– Deloitte: 2,353
– Infosys: 2,004
– Wipro: 1,523
– Tech Mahindra Americas: 951

The increased fees could disrupt talent pipelines and project deliveries, especially for companies relying on cost-effective international talent.

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### Opposition and Criticism

The policy has drawn sharp criticism from US lawmakers and immigration advocates. Congressman Raja Krishnamoorthi condemned the move as “reckless,” warning that it could cut the US off from vital high-skilled talent essential for innovation and job creation.

Ajay Bhutoria, former advisor to President Joe Biden, expressed concerns that the fee hike could “crush small businesses and start-ups reliant on diverse talent,” pushing skilled workers to seek opportunities in Canada or Europe. This shift could significantly weaken America’s competitive edge in the global economy.

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### Conclusion

The Trump administration’s dramatic increase in H-1B visa fees poses serious challenges to various sectors, with the healthcare system and technology firms standing to be hit hardest. As visa costs surge, the future of international talent participation in the US workforce hangs in the balance, raising critical questions about the nation’s ability to maintain its leadership in innovation and quality healthcare delivery.

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*Stay tuned for more updates on immigration policies and their impact on the US economy.*
https://www.newsbytesapp.com/news/world/us-healthcare-braces-for-impact-as-trump-hikes-h-1b-fee/story