A federal judge in the United States has halted a plan by the Trump administration to impose a $100,000 fee on employers seeking to hire highly skilled foreign workers, ruling that the measure constituted an unauthorised tax.
When the decision to impose the fee was announced via a presidential proclamation in September 2025, it was met with widespread backlash and national outcry, including from companies that were worried about what it would mean for their affected employees.
At the time, Leon Rodriguez, a partner at the Seyfarth law firm who was director of US Citizenship and Immigration Services in the Obama administration, said that despite the White House's attempts to reassure critics that the fee would not apply to existing visa holders, "there's still some folks out there recommending to their H-1B employees that they not travel right now until it's a little clearer."
US District Judge Leo Sorokin determined that the policy exceeded executive authority by bypassing Congress. The proposed charge was aimed at applications for the H-1B visa programme, which allows US businesses to employ foreign professionals in specialised fields.
According to the ruling, such a levy requires explicit legislative approval from lawmakers, highlighting the constitutional boundaries of presidential power.
