White House Proclamation on H-1Bs: Key Updates and Implications for Employers

ICYMI: The White House issued a Presidential Proclamation on September 19^th, 2025 imposing a $100,000 fee for sponsoring new H-1B employment visas, effective September 21^st, 2025. After confusion about its scope, the Administration clarified late on September 20^th that the fee applied only to new visa applications. Find the CHRO Association’s full breakdown and implications for employers here.

Upcoming webinar: To hear from the experts and find out what it means for your company, join us on Wednesday, October 1^st for a webinar featuring immigration and legal experts from Fragomen and the National Center for American Policy breaking down the Proclamation and other employer-sponsored immigration developments. Find more information and registration here.

Key features of the Proclamation:

• $100k fee: Employers sponsoring new H-1B petitions must pay and retain documentation for verification by the Departments of State and Homeland Security.

• New visa petitions only: The fee applies only to petitions filed after 12:01 a.m. ET on September 21, 2025.

  • The fee does NOT apply to existing petitions, existing H-1B visa holders, extensions of stay, petition amendments, or changes of employer or status, and does not impact the ability of any current H-1B visa holder to travel to and from the U.S.

• Exemptions: DHS may grant exemptions for industries, companies, or individual petitions deemed “in the national interest.” The scope of this exemption is currently unclear and could potentially be used by the administration to negotiate deals with companies (e.g., waiving the fees in exchange for other policy changes sought by the administration, such as cutting back on DEI programs).

Legal challenges expected: The Proclamation is likely to invite lawsuits challenging the President’s authority to unilaterally impose such a significant change to immigration law. However, employers should not assume litigation will delay implementation. 

More regulations and restrictions ahead: Both DOL and DHS are instructed to issue new rules restricting H-1B usage and prioritizing high-skilled, high-paid H-1B workers.

• DHS has already issued a proposed rule “to prioritize high-skilled, high-paid H-1B workers.” 

  • The proposed rule would change the H-1B lottery system—which currently grants one lottery spot per petition, regardless of associated wage or skill level—to a weighted lottery that will give more lottery spots for petitions for jobs with higher wages.  

• DOL will revise and raise prevailing wages for H-1B visas to reserve visas for top foreign talent.  

• Both agencies will issue joint guidance on verification, enforcement, audits, and penalties under the new restrictions; details are not yet available.  

• The administration’s rollout of the changes was chaotic and featured inconsistent messaging across different agencies, leading to much confusion amongst employers. This is likely to be a feature of future changes in the employer-sponsored immigration space.

More resources:

•  CHRO Association’s in-depth overview of the Proclamation, what it means for employers, and unanswered questions

• White House FAQs on the Proclamation

• Department of State FAQs on the Proclamation

• Webinar registration: CHRO Association breaks down what employers need to know