Microsoft Scrambles After Trump’s H1-B Visa Executive Order

A leaked internal memo from Microsoft revealed that the Redmond, Washington-based tech company is scrambling to get staff back home, following the Trump administration’s executive order to increase fees for H-1B government visas from $6,000 a year to $100,000.

The details of the memo, which were published online, advised U.S. employees holding H-1B visas not to leave the country. For those currently abroad, they should use every means possible to return to U.S. soil before midnight on Saturday. Dependents who are in the U.S. on an H-4 Visa were given the same guidance. The memo did not implicitly state that employees would not be allowed back into the United States if they returned after Saturday’s deadline.

Microsoft was setting up tracking for employees who are currently traveling outside of the U.S., but admitted, “there isn’t much time to make sudden travel arrangements.”

On TikTok, a video published on Friday allegedly showed five Microsoft employees deplaning an international flight in Seattle after receiving messages from human resources urging them to cancel their travel.

H-1B Visas are a program heavily utilized by the tech sector, which enables the recruitment and sponsorship of highly skilled foreign workers in robotics, AI, computer science, biomedical engineering, aerospace, and other fields when a company cannot find qualified U.S. citizens to fill the roles.

There are allegations that the program has been abused to circumvent hiring American workers, who typically demand higher salaries. Despite the claims, investigations have been rare. The last high-profile case resulting in federal action was in 2013 against the Indian company Infosys. The company was fined $34 million, but the legal action also included B-1 Visa abuse and failure to keep adequate Form I-9 records.

No wrongdoing was found in a 2015 case against Disney, which was accused of laying off 35 employees to replace them with H-1B visa holders. A 2021 H-1B and B-1 Visa wage theft case against HCL was dismissed by the United States Second Circuit Court of Appeals on January 23.

The Executive Order issued by President Trump will require Congressional approval. In the tech space, particularly for skilled workers in AI, even a $100,000 visa fee per year won’t represent a significant barrier to hiring foreign workers. Employers are competing to hire from a limited talent pool, with Meta offering $100 million in signing bonuses. Other companies are offering multiyear compensation packages approaching $250 million.

Additionally, Trump’s order provides a provision to issue waivers on a case-by-case basis if companies can show necessity.

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