On September 18, 2026, President Trump issued a proclamation extending through September 21, 2027, restrictions affecting certain H-1B workers outside the United States, including the $100,000 payment requirement first introduced in September 2025. The fee requirement is currently subject to a court order which vacated the underlying policy, and implementation of the extended fee requirement is expected to remain blocked pending further litigation. The Administration also issued a related Executive Order directing enhanced interagency scrutiny and coordination in the administration of the H-1B program.
On September 18, 2026, President Trump signed a proclamation extending the restrictions established under the Administration’s September 2025 H-1B proclamation for an additional 12 months. The extension continues through September 21, 2027, and seeks to maintain the Administration’s efforts to prioritize higher-skilled and higher-paid foreign workers while addressing perceived abuse of the H-1B program.
The original September 2025 proclamation imposed a requirement that certain employers filing H-1B petitions on behalf of foreign nationals outside the United States submit a $100,000 payment, subject to limited exceptions and discretionary national interest waivers. According to the Administration, more than 700 petitions were accompanied by the required payment during the first year of implementation.
The Administration cited several developments as justification for extending the restrictions, including a decline in H-1B registrations filed by large IT outsourcing firms, increased participation by beneficiaries with advanced US degrees, and greater representation of higher-wage positions among selected registrations under the weighted H-1B selection process implemented following the 2025 proclamation.
The practical impact of the extension remains uncertain. The 2025 fee policy was vacated by a federal district court in 2026, and USCIS was ordered to stop collecting the $100,000 fee. Because the new proclamation merely extends the 2025 restrictions rather than establishing an entirely new fee structure, the existing court order is expected to continue preventing implementation of the payment requirement unless and until the government prevails on appeal or otherwise obtains relief from the courts. Accordingly, absent further judicial or administrative action, USCIS currently appears unable to collect the $100,000 payment for affected petitions.
Separately, the Administration also issued an Executive Order aimed at increasing oversight of the H-1B program. The order calls for greater coordination among federal agencies involved in H-1B adjudications and compliance efforts and signals a continued focus on program enforcement. Specifically, the Executive Order directs DHS, DOS, and DOL to coordinate with the Departments of Commerce and Education, as well as the Small Business Administration, when reviewing H-1B-related filings. The order also instructs agencies to consider whether a sponsoring employer has conducted layoffs affecting similarly situated U.S. workers within the previous year, or anticipates future workforce reductions, when adjudicating H-1B-related applications and petitions. It also directs DOL to review previously submitted labor condition application data to determine whether additional enforcement action may be warranted
Although the Executive Order does not create new filing requirements, it signals an increased enforcement and compliance focus across agencies involved in H-1B adjudications and oversight. Employers may therefore experience heightened scrutiny of petition filings, wage practices, specialty occupation eligibility, employee qualifications, and workforce reduction activities.
What employers should consider doing now
Employers utilizing the H-1B program should consider:
Documenting and retaining records supporting business necessity, job requirements, wage determinations, and recruitment decisions, particularly where the company has recently conducted workforce reductions or restructuring activities.
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Angelo A. Paparelli
Partner
Ryan Bravata
Manager
Matthew Hong
Senior Associate
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