Introduction
For decades, Indian professionals have played a vital role in the U.S. economy’s reliance on high-skilled talent. The H-1B visa program under the Immigration and Nationality Act (INA) § 101(a)(15)(H)(i)(b) remains the primary pathway for specialty occupation workers, while employment-based green card categories under INA §§ 203(b)(2) and (b)(3) offer long-term permanent residence opportunities.
As of 2025, this system continues to present opportunities and barriers. Beyond the well-known challenges—annual caps, wage compliance, and green card backlogs—Indian nationals now face a new, extraordinary requirement: the “$100,000 Rule”, announced by Presidential Proclamation on September 21, 2025.
This blog explores the legal framework, the impact of this new rule, and the broader challenges facing Indian professionals under U.S. immigration law.
I. The Existing H-1B Framework
A. Statutory Basis
- H-1B program is authorized under INA § 214(g), with a cap of 65,000 visas annually, plus 20,000 for U.S. advanced degree holders.
- Beneficiaries must work in a “specialty occupation” requiring a bachelor’s degree or higher in a specific field.
B. Employer Obligations
- Employers must file a Labor Condition Application (LCA) with the Department of Labor.
- Wages must meet the prevailing wage or actual wage, whichever is higher.
- Employers must maintain public access files, notify employees, and follow strict recordkeeping requirements.
C. Duration and Extensions
- Initial H-1B validity: 3 years, extendable up to 6 years.
- Extensions beyond 6 years possible under AC21 provisions when labor certifications or I-140 petitions are pending or backlogged.
II. The $100,000 Rule: Presidential Proclamation of September 21, 2025
A. Overview of the Rule
- Effective September 21, 2025, all new H-1B petitions for beneficiaries outside the U.S. must include a $100,000 payment.
- USCIS cannot adjudicate petitions without payment, and consular officers cannot issue visas absent proof.
- Rule is based on INA § 212(f), allowing the President to restrict entry of noncitizens.
B. Duration
- Announced as a 12-month policy, but may be extended or modified.
C. Exemptions
- Petitions filed before September 21, 2025.
- H-1B extensions, amendments, and change of status filings for workers already in the U.S.
- Cap-exempt petitions (universities, non-profits, research institutions).
- Waivers available in the national interest.
D. Legal Ambiguities
- Applies only to new H-1B cap-subject petitions for beneficiaries outside the U.S.
- Does not impact transfers, extensions, or amendments for workers already inside the U.S.
III. Broader Challenges Facing Indian Professionals
A. Green Card Backlogs
- EB-2 and EB-3 Indian nationals face multi-decade wait times due to per-country limits.
- Families remain in prolonged H-1B status, with dependent children at risk of “aging out.”
B. USCIS Adjudication Trends
- Frequent Requests for Evidence (RFEs) for Level 1 wage petitions.
- Remote/hybrid work complicates compliance, often requiring new LCAs or amendments.
C. Alternative Visa Categories
- O-1 visas for extraordinary ability professionals.
- L-1 visas for intracompany transferees with qualifying relationships.
IV. Practical Implications of the $100K Rule
A. For Employers
- Must budget $100,000 per beneficiary when hiring from abroad.
- May restrict recruitment to critical roles or increase reliance on domestic candidates.
- Surge in waiver applications expected in healthcare and advanced technology sectors.
B. For Beneficiaries
- Those outside the U.S. face new financial barriers.
- Workers already in the U.S. may avoid travel to prevent triggering the payment.
- Many may shift to F-1 visas with OPT/CPT or cap-exempt institutions.
C. Legal Risk and Litigation
- Potential legal challenges since immigration fees are a legislative function.
- Lawsuits may delay or block enforcement, but employers must comply until resolved.
V. Strategic Considerations for Indian Professionals and Employers
Key Recommendations
- File Early: Petitions filed before September 21, 2025 avoid the $100K fee.
- Avoid Unnecessary Travel: Reduces the risk of new visa stamping requirements.
- Explore Exemptions: Pursue national interest waivers where possible.
- Consider Alternatives: O-1, L-1, or cap-exempt H-1B petitions may help bypass restrictions.
- Accelerate Green Card Filings: Employers should pursue PERM and I-140 early to secure extensions and permanent residence.
Conclusion
The $100,000 rule is one of the most significant shifts in U.S. employment-based immigration policy in recent years. For Indian professionals—the largest group of H-1B beneficiaries—its impact is particularly severe, creating financial and legal hurdles on top of existing backlogs and quotas.
In this uncertain environment, strategic planning and expert legal guidance are crucial. Employers and professionals must adapt to both long-standing statutory rules and rapidly emerging executive actions.
At Immigration Fleet, we are committed to helping clients navigate these complexities, safeguard careers, and secure brighter futures in the U.S.
