The U.S. Chamber of Commerce filed a lawsuit on Thursday challenging President Donald Trump’s new $100,000 fee on H-1B visa applications, calling it an unlawful and harmful measure that would burden American businesses.
The Chamber, which represents around 300,000 companies, said Trump’s September proclamation imposing the hefty fee on new H-1B visa petitions exceeded his presidential authority and would disrupt the system that Congress had carefully established. Filed in federal court in Washington, D.C., the case marks the group’s first lawsuit against the Trump administration since his second term began in January.
The H-1B program allows U.S. employers to hire highly skilled foreign professionals, especially in fields such as engineering, computer science, and healthcare. Tech firms in particular rely heavily on these workers to fill gaps in the U.S. labor market. The program allocates 65,000 visas each year, with an additional 20,000 reserved for applicants holding advanced degrees, typically valid for three to six years.
The Chamber said the new $100,000 fee would force companies to either absorb huge labor costs or reduce hiring, which could undermine competitiveness. “Many members of the U.S. Chamber are bracing for the need to scale back or entirely walk away from the H-1B program, to the detriment of their investors, customers, and their own existing employees,” the group said in its filing.
The White House has not yet commented on the lawsuit. The fee policy is also being contested in a separate case brought by unions, businesses, and religious organizations in a California federal court.
Critics of the H-1B system argue that it displaces American workers with lower-paid foreign labor. However, business leaders and major corporations contend that these visas are essential for addressing a shortage of qualified U.S. professionals in specialized fields.
Currently, employers pay between $2,000 and $5,000 in application fees depending on company size and other factors, with most petitions costing less than $3,600. The new policy would impose an additional $100,000 fee on employers sponsoring H-1B applicants selected in the annual visa lottery held each March.
Trump justified the move under his authority to restrict entry of certain foreign nationals deemed “detrimental to the interests of the United States.” He claimed the H-1B system had led to a “large-scale replacement of American workers,” posing economic and national security risks.
The Chamber argued, however, that the fee is not an entry restriction at all since it applies to employers, not workers. The lawsuit asserts that the measure violates U.S. immigration law and could severely disrupt industries dependent on foreign talent.
The outcome of the case could determine whether Trump’s order stands or is struck down as an overreach, potentially shaping the future of America’s skilled worker visa program amid ongoing debates over immigration and economic policy.
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