A rising number of leading US universities are confronting challenges in attracting international graduate students and academic talent due to changes in the H-1B visa system under the Trump administration, as per a report by Forbes. The introduction of a $100,000 fee for new applicants and a shift in lottery preference are prompting concern across higher education institutions.
While these rules officially take effect for commercial companies next March, universities, normally exempt from the annual H-1B visa cap, are already feeling the effects. Immigration policy experts told Forbes that these institutions are “effectively on the frontlines of the policy change” with limited protection under current exemptions.
Fee targets universities and research institutions first
According to the Forbes report, Jeremy Neufeld, Director of Immigration Policy at the Institute for Progress, described the fee as “a pure tax on their pipeline.” Traditionally exempt from the H-1B lottery, universities and certain non-profit organisations may apply year-round. The new $100,000 fee, which previously ranged from $2,000 to $5,000 depending on employer size, now applies to these groups as well.
The policy also prioritises older, higher-paid applicants, potentially limiting opportunities for recent international graduates seeking H-1B visas. Combined with changes to F-1 student visas and Optional Practical Training (OPT), the new rules are reshaping post-graduate pathways for foreign students.
Declining international student numbers
The US International Trade Administration shows a 19% drop in international student arrivals in August compared to the previous year, following a 28% decline in July. Stuart Anderson, Forbes senior contributor, highlighted that some students may be delaying travel to avoid re-entry issues.
Graduate programmes are particularly affected, with 502,291 international students enrolled in 2023–2024, compared with 342,875 undergraduates, according to Open Doors data. STEM and research-heavy universities are expected to face the most significant impacts.
Top universities receiving H-1B visas (Oct 1, 2024 – Jun 30, 2025)
The 25 universities receiving the highest number of new and renewed H-1B visas in the first nine months of Fiscal Year 2025 (Oct 1, 2024 – Jun 30, 2025) include major research and STEM-focused institutions. The figures reflect both initial approvals and renewals, indicating the significant reliance of US universities on international talent for research and teaching.
The new H-1B rules signal a potential reshaping of academic hiring and international enrolment trends, with universities bracing for financial and operational adjustments in the coming years.
Unions and educators challenge Trump administration over H-1B visa fee hike
A coalition of unions, educators, healthcare providers, and religious organisations has filed a lawsuit against the Trump administration over the recently introduced $100,000 fee on new H-1B visa applications. The case, filed in the Northern District of California, argues that the president lacks constitutional authority to impose a revenue-generating measure without congressional approval and bypassed required regulatory procedures.
The plaintiffs say the fee will negatively impact essential services, especially in healthcare, education, and religious institutions, which depend on skilled foreign professionals.
While these rules officially take effect for commercial companies next March, universities, normally exempt from the annual H-1B visa cap, are already feeling the effects. Immigration policy experts told Forbes that these institutions are “effectively on the frontlines of the policy change” with limited protection under current exemptions.
Fee targets universities and research institutions first
According to the Forbes report, Jeremy Neufeld, Director of Immigration Policy at the Institute for Progress, described the fee as “a pure tax on their pipeline.” Traditionally exempt from the H-1B lottery, universities and certain non-profit organisations may apply year-round. The new $100,000 fee, which previously ranged from $2,000 to $5,000 depending on employer size, now applies to these groups as well.
The policy also prioritises older, higher-paid applicants, potentially limiting opportunities for recent international graduates seeking H-1B visas. Combined with changes to F-1 student visas and Optional Practical Training (OPT), the new rules are reshaping post-graduate pathways for foreign students.
Declining international student numbers
The US International Trade Administration shows a 19% drop in international student arrivals in August compared to the previous year, following a 28% decline in July. Stuart Anderson, Forbes senior contributor, highlighted that some students may be delaying travel to avoid re-entry issues.
Graduate programmes are particularly affected, with 502,291 international students enrolled in 2023–2024, compared with 342,875 undergraduates, according to Open Doors data. STEM and research-heavy universities are expected to face the most significant impacts.
Top universities receiving H-1B visas (Oct 1, 2024 – Jun 30, 2025)
The 25 universities receiving the highest number of new and renewed H-1B visas in the first nine months of Fiscal Year 2025 (Oct 1, 2024 – Jun 30, 2025) include major research and STEM-focused institutions. The figures reflect both initial approvals and renewals, indicating the significant reliance of US universities on international talent for research and teaching.
The new H-1B rules signal a potential reshaping of academic hiring and international enrolment trends, with universities bracing for financial and operational adjustments in the coming years.
Unions and educators challenge Trump administration over H-1B visa fee hike
A coalition of unions, educators, healthcare providers, and religious organisations has filed a lawsuit against the Trump administration over the recently introduced $100,000 fee on new H-1B visa applications. The case, filed in the Northern District of California, argues that the president lacks constitutional authority to impose a revenue-generating measure without congressional approval and bypassed required regulatory procedures.
The plaintiffs say the fee will negatively impact essential services, especially in healthcare, education, and religious institutions, which depend on skilled foreign professionals.
You may also like
Himachal Pradesh hosts state-level competition on safe construction models
Stephen Graham drama hailed 'outstanding' gets season 2 release date
MoS George Kurian commissions 250-tonne Slipway Cradle to strengthen marine fisheries infra
Dengue Shock Syndrome: What It Is and How It Can Be Fatal
NeGD, NeSL ink pact on handling digital documents for businesses, govt entities
