President Donald Trump has issued an executive order aimed at increasing scrutiny of H-1B visa applications. This directive specifically targets employers who have recently laid off American workers or are planning layoffs that could impact similarly situated U.S. employees. The order underscores the administration’s ongoing focus on protecting domestic jobs while managing the influx of foreign workers under the H-1B visa program.
The White House said the move is intended to strengthen the integrity of the H-1B program and protect American workers. The order expands scrutiny of employers using the H-1B program and calls for greater coordination among the Departments of Labor, Homeland Security, State, Commerce and Education, as well as the Small Business Administration.
White House Takes Action Against H-1B Visa Misuse
The Biden administration has issued an order alleging that certain employers, third-party placement agencies, and outsourcing firms have exploited the H-1B visa program to hire lower-paid foreign workers, thereby displacing American employees.
Citing significant layoffs in the technology sector, the White House reported that employers in this field sought hundreds of thousands of H-1B workers while laying off between 800,000 and 1.3 million American workers from 2022 to 2026. The administration further claimed that some U.S. employees were compelled to train their foreign replacements prior to their departure.
Additionally, the order highlighted the role of outsourcing companies, noting that some H-1B workers were being deployed to replace U.S. employees at client businesses before transferring portions of the work overseas. These allegations and statistics form the basis of the administration’s justification for its recent actions.
Changes to H-1B Program Implementation Timeline
The Trump administration has announced new measures to tighten the H-1B visa program. A significant development is the establishment of broader interagency information-sharing, with the Departments of Commerce, Education, and the Small Business Administration expected to provide relevant economic data to the agencies overseeing the H-1B program.
Additionally, on the same day, the White House issued a proclamation that extends restrictions on the entry of certain H-1B workers. Under this new rule, applicants must submit a petition accompanied by a payment of $100,000, although there are specified exceptions to this requirement. This restriction is slated to take effect on September 21, 2026.
