On Tuesday, a federal court in Washington, D.C. ruled against a lawsuit brought by the nation's leading business advocacy organization concerning a presidential directive imposing a substantial charge on certain work visas.
Judge Beryl Howell determined that the executive action establishing a $100,000 cost for new H-1B visa applications is a lawful exercise of the president's authority over immigration matters, as defined by statute.
"The parties’ vigorous debate over the ultimate wisdom of this political judgment is not within the province of the courts," Howell wrote. "So long as the actions dictated by the policy decision and articulated in the Proclamation fit within the confines of the law, the Proclamation must be upheld."
The Chamber of Commerce had argued that the significant fee increase contradicts existing immigration law and would compel numerous businesses, healthcare institutions, and other employers to reduce their workforce and curtail public services.
Daryl Joseffer, the Chamber's executive vice president and chief counsel, expressed concern that the financial burden would be prohibitive for many small and mid-sized enterprises.
"We are disappointed in the court’s decision and are considering further legal options to ensure that the H-1B visa program can operate as Congress intended," Joseffer said in a statement.
The H-1B program permits U.S. companies to recruit foreign professionals in specialized occupations. It is particularly crucial for the technology sector, which depends on these visas to fill skilled positions. The program allocates 85,000 visas each year, with approvals valid for multiple years.
The presidential proclamation significantly increases the expense of securing these visas, which previously involved fees generally ranging from $2,000 to $5,000.
In its legal filing, the Chamber contended that the new cost would force companies reliant on the program to either absorb much higher labor expenses or hire fewer qualified foreign specialists.
Additional legal challenges against the fee have been initiated by a coalition of states led by Democratic officials, as well as a group of employers, nonprofit entities, and religious organizations.
The judge noted that the administration provided sufficient justification, including instances where firms dismissed American employees while seeking H-1B visas, to support the claim that the program adversely affects U.S. workers.
