Walmart Stops Hiring Foreign Workers, Spooked by $100K Visa Fee Hike

America’s Largest Employer Hits Pause

Walmart just became the first major retailer to stop hiring workers who need H-1B visas.

The decision came after President Trump slapped a $100,000 fee on each new application, turning what used to cost a few thousand dollars into a six-figure expense.

Walmart employs about 2,390 workers on these visas, mostly in corporate tech jobs that help the company compete with Amazon.

The pause doesn’t affect store workers or warehouse staff, but it signals something bigger about how American companies are reacting to the new immigration rules.

Trump’s Fee Jumped From $5,000 to $100,000

President Trump signed a proclamation on September 19, 2025, requiring employers to pay a one-time $100,000 fee for each new H-1B petition.

The fee took effect on September 21, 2025.

Previously, it cost employers between $2,000 to $5,000 per petition, depending on the size of the company.

The fee applies to new petitions submitted after the deadline, including the 2026 lottery. Current H-1B holders and renewals are not affected.

The Pause Targets Corporate Jobs, Not Stores

Walmart is the nation’s largest private employer with about 1.6 million employees, and most work in big-box stores and warehouses.

H-1B visas are typically used for a small portion of Walmart’s corporate ranks, based in Bentonville, Arkansas and major cities like the San Francisco Bay Area.

The current guideline primarily impacts corporate employees. Many of them work in tech and e-commerce roles that help Walmart compete with Amazon.

What the H-1B Visa Actually Does

The H-1B visa allows employers to petition for highly educated foreign professionals to temporarily work in specialty occupations.

These jobs require at least a bachelor’s degree and include positions like civil engineers, software developers, and researchers.

The initial duration is three years but can be extended up to six.

The annual cap is 65,000 visas, with 20,000 more for foreign professionals who graduate with a master’s degree or doctorate from a U.S. institution.

Tech Giants Still Lead in Visa Sponsorship

Amazon was the biggest sponsor of H-1B workers for fiscal year 2025, employing over 10,000 people with the visa.

Microsoft had 5,189 H-1B visa holders approved, while Meta had 5,123 and Apple had 4,202.

Walmart currently employs about 2,390 H-1B visa holders, making it the largest user among U.S. retailers, though far behind tech companies.

India Warned of Humanitarian Consequences

Indian nationals account for 71% of H-1B visa recipients, making them by far the largest beneficiary group.

Chinese nationals represent the second-largest group at about 12%. India’s Ministry of External Affairs warned that the move could create humanitarian consequences.

Indian Minister of Commerce Piyush Goyal said the U.S. was “a little afraid of our talent.”

Chamber of Commerce Sues the Administration

On October 16, 2025, the U.S. Chamber of Commerce filed a legal challenge to the $100,000 fee.

The Chamber argues the fee is unlawful because it overrides provisions of the Immigration and Nationality Act, including the requirement that fees be based on costs the government incurs in processing visas.

The lawsuit states that the president’s authority over immigration cannot directly contradict laws passed by Congress.

Tech Companies Told Workers to Stay Put

Google and Meta advised H-1B visa holders to reconsider international travel plans and consider returning to the United States before the rule took effect.

Microsoft, JPMorgan, and Amazon advised employees holding H-1B visas to remain in the U.S. A Goldman Sachs internal memo urged employees with such visas to exercise caution on international travel.

The panic subsided after the White House clarified that current visa holders would not be charged.

White House Says It Protects American Workers

White House spokeswoman Taylor Rogers said President Trump promised to put American workers first, calling this action commonsense for discouraging companies from spamming the system and driving down wages.

The administration argues the fee ensures companies sponsor only highly skilled workers who are not replaceable by Americans.

For the Trump administration, the steeper fee is meant as a deterrent for companies weighing whether to hire a foreign worker over an American.

Small Companies Hit Harder Than Giants

The Chamber of Commerce warned the fee will make it cost-prohibitive for startups and small and midsize businesses to use the H-1B program.

Private equity investor Alan Patricof said there is not a single company he has invested in over the last 10 years that could afford to pay this.

Small businesses and startups are more likely to balk at the $100,000 fee than companies like Amazon, Meta, Apple, and Google, which have a combined market value of about $11. 1 trillion.

Legal Battles Could Reshape the Program

The proclamation has already been challenged in court by a broad coalition that filed a complaint on October 3, 2025, alleging overreach of executive power.

The proclamation is slated to remain in force for 12 months until September 21, 2026, unless extended.

Courts may block all or part of the fee, and employers are proceeding with caution on any new filings involving workers outside the U.S.

Walmart’s Pause May Push Others to Follow

Walmart’s policy change demonstrates how major companies are changing their policies in response to Trump’s strict immigration agenda.

As the nation’s largest private employer and biggest H-1B user among retailers, Walmart’s decision sends a clear message.

The company said it remains committed to hiring the best talent while being thoughtful about its approach.

Whether other retailers and mid-size companies follow Walmart’s lead may depend on what happens in court and whether Congress steps in to change the rules.

This article was created with AI assistance and human editing.

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