President Donald Trump has signed a proclamation to impose a new annual $100,000 fee on H-1B visa applications, a move aimed at reshaping the skilled foreign worker program. This new fee, which is a significant increase from the previous costs, is effective for new applicants. The White House has clarified that the fee does not apply to current visa holders or those renewing their visas.

The administration has stated that the purpose of the new fee is to protect American workers and curb abuses of the H-1B program, which they argue has been used to replace American workers with lower-paid foreign labor. The proclamation aims to incentivize companies to hire "the best of the best" by making it more costly to bring in less-skilled workers.

The announcement has triggered a range of reactions. The tech industry, which relies heavily on H-1B visa holders for roles in engineering and programming, is concerned about the impact of the new costs. Some economists and analysts have warned that the fee could lead to a "brain drain" and hurt U.S. economic growth by making it more difficult to attract top international talent. Other critics have questioned the legality of the move, suggesting it may face legal challenges.