White House: $100,000 fee to be one-time payment

WASHINGTON — The White House issued a major clarification on Saturday to its new H-1B visa policy that had rattled the tech industry, saying a $100,000 fee will be a "onetime" payment imposed only on new applicants.

United States Commerce Secretary Howard Lutnick, in announcing the major fee increase on Friday, said it would be paid annually, and would apply to people seeking a new visa as well as renewals.

However, White House Press Secretary Karoline Leavitt issued a clarification on Saturday, hours before the new policy was to go into effect.

"This is NOT an annual fee. It's a one-time fee that applies ... only to new visas, not renewals, and not current visa holders," she said in a social media post.

The executive order comes into force on Sunday at 12:01 am US Eastern time (0401 GMT).

Prior to the White House's clarification, US companies were scrambling to figure out the implications for their foreign workers, with several reportedly warning their employees not to leave the country.

Some people who were already on planes preparing to leave the country on Friday deboarded over fears they may not be allowed to reenter the US, the San Francisco Chronicle reported.

"Those who already hold H-1B visas and are currently outside of the country right now will NOT be charged $100,000 to reenter," Leavitt said.

"H-1B visa holders can leave and reenter the country to the same extent as they normally would."

H-1B visas allow companies to sponsor foreign workers with specialized skills — such as scientists, engineers and computer programmers — to work in the US, initially for three years but extendable to six.

Such visas are widely used by the tech industry. Indian nationals account for nearly three-fourths of the permits allotted via lottery system each year.

US bank JPMorgan confirmed a memo had been sent to its employees about H-1B visas, advising them to remain in the US and avoid international travel until further guidance was issued.

Tech entrepreneurs have warned against targeting H-1B visas, saying that the US does not have enough homegrown talent to fill important tech sector job vacancies.

Agencies via Xinhua