On September 19, 2025, President Donald Trump issued a proclamation regarding the use of H-1B nonimmigrant visas. That same day, the Department of Labor announced Project Firewall, an H-1B enforcement initiative. Below, we summarize these developments and how they may affect your business.
Link to H-1B Basics H-1B Basics
An H1-B visa is an employer-sponsored visa for foreign professionals. It allows the professionals to temporarily work for the employer in “specialty occupations” (think technology, engineering, or healthcare). The visas generally allow an initial three-year stay and can be extended for certain reasons. The federal government sets a limit on the number of H-1B visas granted per year.
Link to Project Firewall Project Firewall
The Department of Labor states that Project Firewall is designed to “safeguard the rights, wages, and job opportunities of highly skilled American workers by ensuring employers prioritize qualified Americans when hiring workers and holding employers accountable if they abuse the H-1B visa process.” To that end, Project Firewall imposes the following requirements:
- H-1B petitions for workers currently outside the United States must include a $100,000 payment. The only exception is where the Secretary of Homeland Security determines that the hiring of the worker in an H-1B specialty occupation “is in the national interest and does not pose a threat to the security or welfare of the United States.”
- The Department of Labor plans to “conduct investigations of employers through Project Firewall to maximize H-1B program compliance.”
- The Department of Homeland Security and Department of State are responsible for enforcing compliance, verifying payments, and denying entry to those who do not comply.
- Violations may result in back wages to affected workers, other monetary penalties, or debarment from future use of the H-1B program for a period of time.
- According to clarifying statements and memoranda from the Trump administration, the fee applies only to new visas and prospective petitions and does not apply to those who already have a H-1B visa. Additionally, H-1B visa holders may leave and reenter the United States as they normally would.
- The Secretary of State has been tasked with issuing guidance to “prevent misuse of B visas by alien beneficiaries of approved H-1B petitions that have an employment start date beginning prior to October 1, 2026.” That guidance is forthcoming.
- Project Firewall is set to expire in 12 months (September 21, 2026), but it can be extended.
Link to Conclusion Conclusion
If you foresee any H1-B petitions in the coming year, keep these requirements handy. As always, consult with your labor and employment counsel to avoid pitfalls.