Amazon and Microsoft issue urgent advisories as US slaps $100,000 fee on H-1B visas

Amazon and Microsoft have sounded the alarm for their overseas employees after President Trump signed an executive order introducing a $100,000 annual fee for every H-1B visa worker, effective Sept 21.

Both companies issued urgent instructions to staff, particularly those from India, which supplies the largest pool of H-1B talent.

Microsoft was the first to act, advising employees on H-1B and H-4 visas who are abroad to return without delay, while cautioning those already in the US against international travel.

Soon after, Amazon followed with a similar directive, setting a strict deadline of midnight EDT on Sept 21 for employees outside the country to reenter.

Internal advisories warned that workers who fail to return before the order takes effect could be barred from reentry. The urgency reflects the unprecedented stakes for thousands of tech professionals.

For employees, the implications are immediate and severe. Job security is at risk as companies weigh whether absorbing the $100,000 fee per worker is financially sustainable.

Routine travel abroad has become a gamble that could cost employees their jobs. Career progression may also stall, with promotions, salary hikes, and project assignments potentially frozen while firms navigate the new costs and legal uncertainties.

Teams heavily staffed with H-1B workers are bracing for disruptions ranging from project delays to temporary shutdowns, especially in areas such as cloud computing and artificial intelligence.

The pressure is greatest on Indian professionals, who accounted for 71% of approved H-1B visas in 2024 compared to China’s 11.7%, according to Bloomberg.

Many are either fresh graduates on Optional Practical Training or transitioning from student visas, and the new surcharge has upended their career plans.

The consequences extend far beyond individual workers. For large US tech firms, collectively paying billions in new visa fees could force a rethink of hiring strategies.

Offshoring to India or other global hubs may accelerate, altering the global distribution of talent.

Smaller companies and startups, with fewer resources to absorb such expenses, risk being hit the hardest, potentially slowing innovation in critical fields.

The impact also weighs heavily on students and recent graduates who once viewed the H-1B route as the gateway to high-paying tech jobs in the US.

With the new financial burden, only the most specialized positions may justify sponsorship, raising competition levels. Many may look to Canada, Europe, or Australia as more stable alternatives.

For now, Amazon and Microsoft’s advisories underline the gravity of the situation. What was once considered a reliable visa pathway to a tech career in the US has been thrown into uncertainty, leaving employees and students alike to reassess their futures as the new order takes effect.