A coalition of 20 U.S. states, led by California and Massachusetts, has filed a federal lawsuit challenging the Trump administration’s decision to dramatically increase fees for H-1B skilled worker visa applications. The states contend that the new policy is unlawful, unconstitutional, and threatens to severely disrupt essential public services, particularly in education and healthcare.
According to the states, the Department of Homeland Security’s (DHS) revised H-1B fee structure exceeds federal government authority and violates established administrative procedures and constitutional limits. Historically, H-1B visa fees have been confined to covering administrative processing costs, a precedent the current policy allegedly disregards by imposing substantially higher charges. This marks a notable reversal from the Trump administration’s earlier pronouncements regarding the H-1B worker visa program.
The plaintiffs argue that the elevated fees will exacerbate existing staffing shortages in critical sectors. In education, the H-1B program is widely utilized by U.S. universities and public schools, with teachers representing the third-largest professional group among H-1B visa holders. The lawsuit highlights that a staggering 74% of American schools struggled to fill teacher vacancies during the most recent academic year, a challenge that the new fee structure is poised to worsen.
The healthcare sector, heavily reliant on the H-1B program, faces similar perils. In Fiscal Year 2024, approximately 17,000 H-1B visas were allocated to medical and health fields, with nearly half granted to foreign physicians and surgeons. The states warn that this policy could deepen the projected shortage of 86,000 doctors in the U.S. by 2036, jeopardizing patient care and public health infrastructure.
The new, significantly higher fees apply to H-1B applications filed after September 21, 2025. While the DHS Secretary retains discretion to grant fee exemptions for certain applications, the previous total government fees for an H-1B visa typically ranged from $960 to $7,595.
The lawsuit is spearheaded by California and Massachusetts, with Arizona, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Michigan, Minnesota, Nevada, North Carolina, New Jersey, New York, Oregon, Rhode Island, Vermont, Washington, and Wisconsin joining the legal action. The H-1B visa program remains a crucial pathway for skilled foreign workers to contribute their expertise across various U.S. industries, including technology, healthcare, and educational research, making the outcome of this litigation highly significant for the nation’s economy and public services.
