H-1B $100,000 fee may push US jobs offshore, warns Congressman Krishnamoorthi
Synopsis
Key Takeaways
Indian American Congressman Raja Krishnamoorthi has warned that a proposed $100,000 fee on new H-1B visas risks compelling US companies to relocate work overseas, undermining America's capacity to recruit top global talent and remain economically competitive. The Illinois Democrat made the remarks on 14 August during an episode of the 'Spill the Tea' interview series.
The Core Warning
'You can either onshore the talent or offshore the work,' Krishnamoorthi said, framing the fee as a binary choice companies would be forced to make. He argued that businesses dependent on specialised foreign professionals would not simply absorb the cost and halt operations — they would shift the work elsewhere.
'These companies are not going to just sit by and not do the work,' he added, signalling that the policy could accelerate the very offshoring trend it ostensibly seeks to prevent.
Why Indian Nationals Are Central to This Debate
The stakes are particularly high for Indian professionals. According to data cited during the interview, Indian nationals received 71 per cent of all H-1B visas issued in fiscal year 2024, making them by far the largest beneficiary group. Krishnamoorthi argued the fee would adversely affect both Indian Americans and broader US competitiveness.
'Our competitiveness depends on attracting the very best talent on earth — whether it's people from India or China or Sweden. It doesn't matter,' he said.
A 'Tax' on Specialised Workers
Krishnamoorthi characterised the proposed fee not as a regulatory measure but as a punitive levy on a specific class of highly skilled workers. 'What I call it is a $100,000 tax on this group of people who fill some of the most exquisite technical roles in our economy and many of whom have gone on to incubate companies employing hundreds of thousands of people,' he said. He argued the fee would first push such professionals away and then prompt those already in the US to reconsider staying.
Broader Immigration System Critique
The congressman called for a comprehensive overhaul of the US legal immigration framework, warning against what he described as self-inflicted economic damage. 'Especially in this really competitive economic landscape, we've got to fix our legal immigration system and stop these own goals on H-1B and other legal pathways that people have used to enrich our economy,' he said.
Krishnamoorthi also addressed rising anti-Asian and anti-Indian sentiment in the US, attributing the trend — in his characterisation — to the political climate shaped by President Donald Trump. He said Trump had exploited anxieties around communities perceived as outsiders and blamed them for others' economic hardships, adding: 'That has now metastasized over 10 years into almost like a normalization of hate.'
About the H-1B Programme and Krishnamoorthi
The H-1B programme enables US employers to sponsor foreign nationals for speciality occupations requiring advanced expertise. Technology and consulting firms have historically been its largest users. Krishnamoorthi has represented Illinois' 8th Congressional District since 2017. He holds a mechanical engineering degree from Princeton University and a law degree from Harvard Law School.