When the H-1B Is Out of Reach: Hiring Skilled Workers Without the $100,000 Fee

Small businesses that rely on specialized talent have long turned to the H-1B visa as the primary route to hire foreign professionals. The new requirement that employers pay a $100,000 fee for many H-1B cases filed after September 21, 2025 has changed that calculation. For large corporations, this new cost may be absorbable but for startups, boutique firms, local clinics, research labs, engineering shops, technology innovators, and other small employers, the fee can make the H-1B category functionally unavailable. Many employers who would ordinarily pursue H-1B sponsorship are now searching for realistic alternatives. This shift does not eliminate the possibility of hiring foreign talent. It does require creative, early planning to determine whether another visa classification aligns with the company’s needs and the candidate’s background. The goal is to match the role, the qualifications, and the business structure to a category that supports employment without triggering the $100,000 H-1B entry fee.

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The H-1B Visa Program is Dividing MAGA

Elon Musk and Vivek Ramaswamy, who until a few days ago were co-leaders of President-elect Trump’s newly created Department of Government Efficiency (“DOGE”) recently ruffled feathers amongst Trump’s MAGA supporters when Ramaswamy and Musk tweeted their support for the H1B program. In a surprising turn of events after having moved to limit H-1Bs during his first term, Trump responded by applauding the program, noting “I have many H-1B visas on my properties. I've been a believer in H-1B. I have used it many times. It's a great program.”

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Increased Denial Rates for H-1B and L-1s

H-1B denial rates in the US are reaching high levels compared to previous years, and  L-1 visa applicants are facing challenges with renewals at the US/Canada border, according to recent reports. Data released through the H-1B Employer Data Hub from US Citizenship & Immigration Services (USCIS) shows that denial rates for initial H-1B petitions between FY 2010 and FY 2015 never exceeded eight percent, and today the rate is three to four times higher at thirty-two percent, analysis from The National Foundation for American Policy (NFAP) shows.

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