Donald Trump sued over H-1B visa fee by country’s largest business group, calls President’s move ‘misguided policy and…’

The US Chamber of Commerce, the country’s largest business group, has filed a lawsuit against the Trump administration over the proposed USD 100,000 H-1B visa application fee, calling it unlawful. In the case filed on Thursday in a Washington district court, the Chamber argued that the high visa fee would harm American businesses. Companies would either have to spend much more on labor or hire fewer skilled foreign workers, for whom it is hard to find replacements in the US.

The Chamber said Trump’s September 19 proclamation is “clearly unlawful” and would benefit America’s economic competitors. It added that while the President has power over who enters the US, this power cannot override laws passed by Congress.

“The Proclamation is not only misguided policy; it is plainly unlawful. The President has significant authority over the entry of noncitizens into the United States. Still, that authority is bounded by statute and cannot directly contradict laws passed by Congress,” it added.

Neil Bradley, Executive Vice President of the Chamber, said the fee would make it too expensive for US companies to hire top global talent, at a time when the US economy needs more workers, not fewer.

The Chamber represents about 300,000 members directly and indirectly represents the interests of over three million companies and organizations across the US.

This is the second major legal challenge to Trump’s new H-1B rules. Earlier, on October 3, a group of unions, teachers, and religious organizations also sued the administration.

Trump’s H-1B visa proclamation created a lot of confusion, as many thought it might affect current H-1B visa holders, who could face problems returning to the United States.

The White House clarified on September 20 that the $100,000 fee is a one-time charge applying only to new visas, not to renewals or existing visa holders.

A few days later, the US Department of Homeland Security (DHS) proposed changes to the H-1B visa process. The plan aims to replace the current lottery system with a weighted selection system that gives preference to higher-skilled workers.

In 2024, India(BHARAT)-born workers received over 70 per cent of all approved H-1B visas, mainly because of a large backlog and the high number of skilled professionals from India(BHARAT).