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From Global Strategic Services: Update on H-1B Fees and Processing During Federal Shutdown

I am writing to provide the latest information regarding the Presidential Proclamation issued on September 19 requiring a new $100,000 fee for persons seeking to enter the U.S. in H-1B status. I also want to provide an update about H-1B processing due to the ongoing federal government shutdown. 

Background

  • On September 19, President Trump issued a Presidential Proclamation purporting to implement a new $100,000 fee for all new petitions filed after midnight Sunday, September 21, 2025. The Proclamation left many unanswered questions, including what qualifies as a “new” petition and how the fee was to be collected.  
  • Also unclear was whether the new fee applied to cap-exempt employers like Virginia Tech.
  • One October 1, the U.S. government partially shut down when Congress was not able to pass a new budget or interim financing for the new fiscal year. Since then, the Senate has voted repeatedly to end the stalemate, without success. 
  • U.S. Citizenship & Immigration Services (USCIS), the agency that adjudicates immigration petitions, is fee funded and has not shut down. However, other agencies involved in the immigration process—in particular the U.S. Dept. of Labor—are partially shut down. 
  • The DOL shutdown prevents employers from filing Labor Condition Applications (LCA), which is a precondition to filing an H-1B petition. 

What We Have Learned Since September 19

  • The Proclamation does not apply to H-1B petitions filed prior to Sunday, September 21, 2025 but that remain pending. USCIS will continue to process those petitions without the new fee. If GSS filed a petition on your behalf and it has not yet been approved, you do not need to do anything at this time as the new fee will not apply to you. GSS will notify you when your petition is approved. 
  • The Proclamation does not apply to extensions for persons currently working at Virginia Tech in H-1B status who need to extend their H-1B or for amended petitions for persons changing job locations or duties. 
  • USCIS issued guidance today [October 20, 2025] clarifying that the Proclamation also does not apply to a petition filed on or after September 21, 2025, that is requesting a change of status, an amendment, or change of employer/extension for a beneficiary who is inside the United States where the beneficiary is granted such amendment, change, or extension. Further, a beneficiary of such petition will not be considered to be subject to the payment if he or she subsequently departs the United States and applies for a visa based on the approved petition and/or seeks to reenter the United States on a current H-1B visa.
  • The October 20 guidance is good news in that it answers many of the remaining questions regarding which H-1Bs are subject to the new fee. 
  • The bottom line is that the only petitions that are subject to the fee are for new petitions filed for persons outside the U.S. at the time of filing who will need to apply for an H-1B at a U.S. consulate prior to entering the U.S. (commonly called consular processing cases). Please contact GSS if you have such a case as there may be other visa alternatives that are available. 

Is Everything Back to Normal? 

  • Unfortunately, no. While it is certainly good news that GSS can resume processing all H-1B case types (extensions, amendments, change of status, etc.) for beneficiaries currently in the U.S., the government shut down will continue to impact filings. As noted above, due to the partial shutdown at the DOL, GSS cannot currently file the LCA required to accompany an H-1B petition. 
  • For H-1B cases where GSS has an approved LCA, we will resume work to finish processing and filing those cases. You will receive an email when a case is filed for your department. 
  • For cases initiated after October 1, where we are unable to file an LCA, GSS will begin working on those cases and take steps to gather information from the employee and the department so we will be able to proceed quickly once the government shutdown ends. However, we will not be able to file petitions with USCIS until an LCA is approved. Normally, it takes DOL 7-8 days to approve an LCA. We anticipate it will take DOL some time to clear the LCA backlog once the shutdown ends, so it could be 2 weeks or more before we are able to file. GSS will update individual departments as to case status as we move forward.  

We will continue to closely monitor this situation and provide updates as new information becomes available. In the meantime, please reach out to me directly if you have questions.

Jeffrey Van Doren, JD
Director, Global Strategic Services