Key Changes You Should Know
On September 19, 2025, the U.S. government issued a new proclamation imposing a $100,000 fee for H-1B visa entries.
- Effective from 12:01 a.m. EDT, September 21, 2025.
- Valid for 12 months unless extended.
- Applies to H-1B workers outside the U.S. trying to enter or re-enter.
This is a major shift. Companies with H-1B employees who travel, start from abroad, or are awaiting visa stamping are now forced to reassess their immigration and workforce continuity strategies.
Who Is Hit Hardest
Here are the categories of employees and employers most affected:
| Group | Impact |
|---|---|
| H-1B workers currently abroad | They cannot re-enter unless the employer has paid the 100k fee or obtained a national interest exception. |
| Workers inside the U.S. | Can continue working, but travel becomes risky or impossible unless the fee is addressed. |
| New hires starting from abroad (e.g. with H-1B petitions coming into effect Oct 1) | They may be blocked or delayed. |
| Companies with large remote or offshore delivery teams | Must adapt structure — travel, staffing, and legal compliance will need review. |
| Small / Mid-size companies without India presence or mobility flexibility | They will feel the cost and risk immediately. |
Alternatives to Paying the $100,000 Fee
Because entry into the U.S. is the main trigger for the fee, several alternatives exist. Some are partial fixes; others are full solutions.
- National Interest Exception – For specific individuals or entire companies if deemed essential to U.S. interests. Process and criteria unclear.
- Visa types other than H-1B – Some non-profit, researcher, academic institutions; or specialized visas like O-1 (extraordinary ability) under certain conditions.
- Intra-company transfers (L-1) – If employee has worked abroad for same employer for at least one year. But this requires a company to have suitable foreign branch.
- Offshore / remote work from India – Employee works from India, employed by Indian payroll or a compliant vendor. No U.S. entry required. This avoids the 100k fee entirely.
How Elatre Helps
Elatre offers a fully compliant, rapid solution so businesses do not have to pay the $100,000 fee or disrupt operations. Here’s how:
- We employ H-1B workers in India (or new hires) under our Indian payroll.
- We manage all legal and statutory compliance (PF, ESI, professional tax, etc.).
- We provide secure infrastructure: remote work setups or physical office seats in Chennai.
- We file export documentation (SOFTEX etc.) so your legal/audit teams have the correct trail.
- Activation within ~48-72 hours in many cases so you can transition quickly.
What Companies Should Do Now (in Next 72 Hours)
- Audit your H-1B workforce
- Who is outside the U.S. now
- Who has upcoming travel or entry planned
- Who has Oct 1 H-1B start cases from abroad
- Freeze nonessential travel for impacted employees.
- Prioritize which employees are worth paying 100,000 or seeking exemptions, and which can transition to an offshore path.
- Contact providers (like Elatre) who can onboard offshore alternatives NOW so you avoid delays.
FAQs
Does the 100,000 fee apply to H-1B workers already in the U.S.?
No, unless they leave and need to re-enter. The fee triggers on entry events.
Is the fee mandatory in all cases?
Only for those entering from abroad. National interest exceptions may apply, but conditions are tight.
How long will this rule stay?
12 months unless renewed. But don’t assume changes — plan for long term.
Can offshore work fully substitute onshore work?
For many roles yes (especially software, analytics, support). For roles requiring physical presence, no. But even then, transitioning some work can reduce risk.
Why Acting Fast Matters
The announcement has already generated uncertainty in many companies. Indian tech bodies have warned it will disrupt projects.
Projects with U.S. deliverables need continuous staffing. Delays cost more in missed deadlines, lost contracts, and team instability than paying for a proper offshore pathway.
Action You Should Take
If your company has H-1B employees abroad or anticipated travel, you should:
- Book a consultation to map affected employees
- Plan transition to remote/India employment where feasible
- Document all decisions legally so finance/legal teams are covered
- Ensure onboarding of alternative structure happens before major disruptions
Elatre’s H-1B Alternative Service is ready for companies that want to protect their workforce, maintain delivery, and avoid the massive fee. Reach out so we can help you transition fast, smoothly, and compliantly.
