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USC Issues Travel Warning as $100,000 H‑1B Charge Takes Effect and Lawsuits Mount

Plaintiffs in California say the proclamation unlawfully imposes a revenue measure.

Overview

  • The one-time surcharge is being applied to new H‑1B petitions filed after September 21, 2025 for 12 months unless extended, with existing holders, renewals and certain amendments exempt.
  • A coalition of unions, employers and religious groups filed suit in the Northern District of California seeking to block enforcement, arguing the fee exceeds presidential authority and violates federal law.
  • The University of Southern California advised H‑1B faculty and staff to postpone international travel and urged those abroad to return before the rule took effect, signaling broader institutional caution.
  • The Department of Homeland Security proposed prioritizing higher-wage or higher-skilled petitions in H‑1B selection, and the plan has moved into public comment.
  • Startup leaders warn the cost advantages large firms and could shift talent overseas, while Nvidia’s Jensen Huang called the effort a “great start” but said the $100,000 price is too high; international students report heightened uncertainty about jobs and debt.