The United States has extended its $100,000 H-1B visa payment requirement for another year, raising the cost of bringing some foreign technology workers into the country.
President Donald Trump extended the measure on September 18. The restriction will remain in place until September 21, 2027, unless the US government extends it again.
The H-1B program allows US employers to hire foreign workers for specialized jobs. Technology companies are among its major users.
Before the new measure, H-1B-related fees generally ranged from about $2,000 to $5,000. The new payment creates a much higher cost for employers that want to bring certain workers into the US.
The cost of bringing tech workers to America
The $100,000 payment does not apply to every H-1B worker.
The current restriction mainly covers certain workers outside the United States. Employers can avoid the restriction in qualifying cases by making the $100,000 payment.
The order also allows exceptions when the US government considers a worker’s entry to be in the national interest.
Existing H-1B holders and some workers already in the US face different rules.
The policy has also faced legal challenges.
A federal judge ruled in June that the $100,000 fee was unlawful. The US government has appealed that decision. The US Chamber of Commerce has also challenged the fee in separate litigation.
This leaves companies facing both a higher potential cost and legal uncertainty.
Tech companies can move the work instead
The policy has a wider business effect beyond immigration.
A technology company does not always need to move a software engineer to America to get the work done.
If a job can be performed remotely, the company can also build or expand a team in another country.
This can apply to software development, testing, cloud services, cybersecurity, data work, and other technology services.
The financial difference can also become large.
For example, five workers subject to the $100,000 payment would create an additional $500,000 cost before salaries and other employment expenses.
Some specialized workers may still justify that cost.
For other roles, companies can compare the cost of bringing workers to the US with the cost of employing technology teams overseas.
Recent corporate decisions show that companies are already reviewing where they expand.
Reuters reported that changes to H-1B rules have affected hiring and expansion plans. It also reported that Alphabet has been increasing its operations in India.
That does not prove that the H-1B policy alone caused those decisions.
It does show that the location of technology work is becoming a bigger business issue.
India already has an advantage
India is one of the countries most closely linked to the H-1B program.
US technology companies have long recruited Indian technology professionals through the program. China is also an important source of H-1B workers.
India also has a large technology workforce and an established software services industry.
That gives Indian companies and technology centres an existing base for work that US companies may choose to perform outside America.
Other technology markets could also compete for this work.
Sri Lanka could find an opening
The policy also creates a potential opportunity for Sri Lanka.
There is no evidence yet that US companies are moving H-1B-dependent technology jobs to Sri Lanka because of the new payment requirement.
The opportunity lies in a different shift.
Companies that cannot or do not want to bring every foreign technology worker to the US may choose to place more work in overseas technology centres.
Sri Lanka could compete for some of that work.
Software development, quality testing, cybersecurity, cloud services and data work can be delivered across borders.
Sri Lanka already has companies and workers serving overseas clients. The next opportunity would be to win more international technology work from companies reviewing their global hiring models.
However, the country would face strong competition.
Companies will compare technology skills, labour costs, service quality, data security, infrastructure, language ability and ease of doing business.
India already has a much larger technology workforce and a mature technology services industry.
Sri Lanka would need to compete on the areas where it can offer value to international companies.
The bigger shift is about where jobs are performed
The H-1B debate is mainly about immigration and access to the US labour market.
For technology companies, the business impact can extend beyond that.
Higher costs for bringing foreign workers into the US can encourage companies to review where they perform technology work.
That could support more investment in overseas development centres and remote technology teams.
The final impact will depend on court decisions, future US policy, and how companies change their hiring plans.
It will also depend on which countries can offer the skills, cost and business conditions that international technology companies need.
For Sri Lanka, this makes the H-1B changes worth watching closely.
Business News is closely watching how this decision affects global technology hiring, offshore operations and the movement of tech jobs. We will continue to track the latest developments and report on changes that could create new opportunities for Sri Lanka’s technology sector.
Last modified: September 19, 2026
