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H‑1B $100,000 Fee Pushes Employers Toward Offshoring as Legal Fights Escalate

Companies are increasingly hiring talent abroad to bypass the surcharge, shifting tech work across borders.

Overview

  • President Donald Trump’s September order imposes a one‑time $100,000 charge on each new H‑1B petition, on top of a program that typically admits up to 85,000 new workers a year.
  • The added cost hits visa‑reliant tech firms and government contractors, with Pennsylvania’s state projects and Deloitte’s large local footprint illustrating potential disruption.
  • Globalization Partners says inquiries for employer‑of‑record hiring have risen since the fee, with services that can place foreign staff for about $500 per month.
  • Economists and investors expect offshoring and remote global hiring to accelerate, which could raise pay abroad and pressure some U.S. wages.
  • The United Auto Workers, the American Association of University Professors, and the U.S. Chamber of Commerce have sued to block the fee, while the proposed HIRE Act would levy a 25% excise tax on outsourcing payments.