The $100,000 employer fee for H-1B visas has been stopped following a ruling by United States District Judge Leo Sorokin.
Twenty states were part of the lawsuit against the Department of Homeland Security.
“Accordingly, the Court VACATES the Policy materials implementing the Proclamation’s $100,000 payment requirement,” the judge, who was appointed by then-President Barack Obama, wrote. Sorokin agreed with the states that sued that the policy went against the Constitution and the Administrative Procedure Act, according to CNBC.
The president ordered tighter restrictions on the H-1B visa program in September 2025, including the fee, as proponents of the crackdown believe that the program makes it more difficult for Americans to find higher-skilled work.
“Some employers, using practices now widely adopted by entire sectors, have abused the H-1B statute and its regulations to artificially suppress wages,” the proclamation states, adding it creates a “a disadvantageous labor market for American citizens, while at the same time making it more difficult to attract and retain the highest skilled subset of temporary workers, with the largest impact seen in critical science, technology, engineering, and math (STEM) fields.”
Meanwhile, Democratic attorneys general argued that the program helps create a stronger and more diversified workforce in the United States.
“The H-1B visa program helps bring talented people with critical skillsets to Washington, keeping our state on the cutting edge in highly specialized areas of education and research,” Washington Attorney General Nick Brown stated in December.
“The federal government can’t arbitrarily turn these visas into an extortion racket to punish employers and institutions the President does not like,” Brown continued.
Following publication, the White House said they are hopeful the ruling will be overturned.
“President Trump has clear legal authority to restrict entry of any class of aliens he determines is not in America’s best interests, and that is exactly what he did," White House spokeswoman Taylor Rogers said in a statement.
"The H-1B program has been abused for decades, and President Trump finally took action to fix it. A federal judge in Washington already upheld a nearly identical order, and the Administration is confident this order will be reversed on appeal," Rogers added.
A spokesperson for DHS also blasted the judge's ruling.
“We disagree with this blatant judicial activism dismantling President Trump’s historic efforts for immigration reform. Under President Trump and Secretary Mullin, our immigration system is being reformed to serve American citizens, American workers, and American families and to preserve our national identity—not to rapidly import foreigners who take American jobs, commit crimes, burden our welfare system, and erode our cultural and social fabric," the spokesperson stated.
“The recent changes to the H-1B visa program, including the increased fee, are intended to address concerns about program integrity and the impact on the U.S. workforce. The policy aims to ensure that employers prioritize hiring U.S. workers, particularly in high-skilled fields. The Trump Administration remains committed to safeguarding opportunities for American workers and maintaining the integrity of employment-based visa programs," the statement continued.