California Leads Legal Battle Against Trump's H-1B Visa Fee Hike

California, alongside 19 other states, has filed a lawsuit challenging President Trump's $100,000 fee on new H-1B visas, arguing it exceeds necessary costs and imposes burdens on sectors like tech and healthcare. Critics claim the fee deters foreign hires essential to addressing labor shortages.

California, joined by 19 other states, launched legal proceedings against President Donald Trump's administration on Friday, aiming to halt the imposition of a $100,000 fee on new H-1B visas for highly skilled foreign workers. Filed in a Boston federal court, this lawsuit marks the third challenge against the fee implemented by Trump in September, significantly increasing the costs for employers normally paying between $2,000 and $5,000.

The office of California Attorney General Rob Bonta argues that the Trump administration lacks the authority to enforce the fee, deeming it a violation of federal law, which limits immigration authority to collect only necessary fees to cover visa program costs. The H-1B program, vital for U.S. employers hiring foreign specialists, is especially crucial for California's tech industry dependent on these visa holders.

Bonta, a Democrat, emphasized that the excessive fee burdens essential service providers in education and healthcare, intensifying labor shortages and jeopardizing service provision. States like New York, Massachusetts, Illinois, New Jersey, and Washington have rallied behind California in this legal action. In defense, the Trump administration maintains that the fee aims to prevent exploitation of the H-1B system, although business groups assert these visas are essential to mitigate qualified workforce shortages in the U.S.

(With inputs from agencies.)