Presidential Proclamation Imposes Unprecedented $100,000 H-1B Fee and H-1B Entry Barriers
/What Happened
On Sept. 19, 2025, the Administration issued a Presidential Proclamation imposing a $100,000 fee as a condition for entry into the U.S. in H-1B status. The proclamation takes effect 12:01 AM Eastern, Sept. 21, 2025. The legal basis for this proclamation is highly questionable, and legal challenges seeking to block implementation of this proclamation are already underway.
The proclamation itself is not well-drafted, and conflicts with statements issued by Administration officials about the proclamation, leaving many important questions unanswered about how broadly the new requirements apply and how they will be implemented.
What We Know
The proclamation seeks to ban the entry into the U.S of individuals in H-1B status who are currently outside the U.S. and whose H-1B petitions are not accompanied with, or supplemented by, a payment of a $100,000 fee.
The Department of Homeland Security (DHS) may grant exceptions for individuals, employers, or even industries if doing so serves the national interest and does not threaten U.S. security or welfare.
The State Department will issue guidance to prevent misuse of B-1/B-2 visas by individuals seeking to enter the U.S. in B-1/B-2 status and then change status to H-1B to avoid the fee.
The Department of Labor has been directed to propose changes to the H-1B prevailing wage system to prioritize the highest paid and most qualified foreign nationals.
Legal challenges are underway and arguments against the proclamation’s legality are strong.
What Remains Unclear
How, when, and where the $100,000 fee would be paid.
Which individuals, occupations, and/or industries qualify for “national interest” exemptions and how to apply for exemptions.
How H-4 dependent spouses and children are impacted
Whether pending petitions (filed before Sept. 19) are exempt.
Whether H-1B extensions for individuals in the U.S. will be impacted.
EP’s View
The proclamation is being challenged in federal court, and its legal justification is not strong. However, we cannot predict whether and how quickly courts will block it. Outcomes could include temporary restraining orders, preliminary injunctions, invalidation of the proclamation, or no relief at all.
Urgent Travel Guidance for H-1B and H-4 Clients
If you are outside the U.S. on H-1B or H-4 status: Return to the U.S. before Sept. 21 at 12:01 AM ET if possible.
If you are inside the U.S. in H-1B or H-4 status: Avoid international travel after Sept. 20.
Canadian/Mexican Commuters: If you live outside the U.S. in H-1B status, and commute daily to work in the U.S., you should enter the U.S. before Sept. 21 at 12:01 AM ET and remain in the U.S. until there is clarity around the implementation of this proclamation (as impractical as that may be).
Employers: What To Do Now
Review travel and visa plans of your H-1B employees immediately.
Inform your H-1B employees about these travel risks.
Pause new H-1B filings for individuals currently abroad until there is clarity around the implementation of this proclamation.
Prepare contingency staffing plans, including exploring O-1 visas as an immediately available alternative option.
Monitor for updates; EP will continue to share guidance as soon as reliable information becomes available.
Key Takeaway
This proclamation creates a massive new barrier to H-1B entry with almost no meaningful guidance on how it will be applied. Though we are confident this proclamation in its present form will be short-lived, at this moment, the safest course of action for individuals in H-1B and H-4 status is to avoid international travel after Sept. 20, and return to the U.S. beforehand if abroad.