US President Donald Trump’s renewed push to reform the H-1B visa programme is finding unexpected allies within the country’s tech industry.
Several tech leaders and industry voices have voiced concern over how the existing visa framework affects American graduates entering the workforce, with many arguing that it incentivises companies to hire cheaper foreign labour.
In an interview with Fox News, SkillStorm CEO Justin Vianello said there were “big challenges” in how the current system influences college hiring, especially in the fields of computer science and engineering.
He pointed to a “concerning” level of unemployment among young IT professionals in the US, a situation he attributes partly to visa-related imbalances, reported Business Standard.
The Trump administration announced a sweeping change to the visa process in September, introducing a one-time fee of $100,000 for fresh H-1B applications filed on or after 21 September, a stark increase from the previous $1,000 charge.
A ‘Three-Headed Monster’ For US Graduates
Describing the current job landscape as a “three-headed monster,” Vianello highlighted how American tech graduates are facing mounting difficulties in securing employment. He said many companies prefer hiring H-1B visa holders because they can be paid “significantly less” than their US counterparts, creating a strong financial incentive for employers to look abroad.
The second challenge, he explained, comes from the Optional Practical Training (OPT) programme, which allows STEM graduates on F-1 visas to work temporarily in the US. Since OPT workers are exempt from paying Social Security and Medicare taxes, they become “automatically 15 per cent cheaper,” making it harder for domestic graduates to compete.
The third issue, Vianello said, stems from companies opting to offshore roles entirely, bypassing the US job market. He stressed that while the H-1B programme was originally designed to attract skilled global talent, it has increasingly harmed local hiring prospects. “The impact on American graduates has been really bad,” he noted.
Drawing on his own background, Vianello added, “The reason I’m in America, along with so many critical people who built SpaceX, Tesla and hundreds of other companies that made America strong, is because of H1B.”
What The Policy Change Means
The Trump administration maintains that the new rules are intended to raise salary standards and ensure that visa slots go to high-skilled roles.
“Certainly I think that the $100,000 fee on any new applications is gonna go a long way toward changing behaviour, but that’s focused on H-1B,” Vianello told Fox News Digital. He said he supports using visas to attract “top-tier technologists” but opposes their misuse for labour cost-cutting. “What I oppose is the misuse of programs like H-1B and OPT as tools for labour arbitrage, which undercuts entry-level opportunities for US tech graduates and distorts the talent market,” he added.
Tech Leaders Weigh In
The move has also drawn support from several big names in Silicon Valley. Nvidia CEO Jensen Huang told CNBC, “We want all the brightest minds to come to the US and remember immigration is the foundation of the American Dream,” adding that he was pleased with the direction of the administration’s reforms.
OpenAI CEO Sam Altman offered a similar endorsement, saying that creating “financial incentives seems good to me,” and that the “smartest people” should continue to have access to US opportunities. Netflix co-founder Reed Hastings echoed these sentiments on X, calling the policy a “great solution” that would ensure H-1B visas are used only for high-value positions and bring greater certainty for employers.
Legal Challenges Mount
Despite support from several tech leaders, the policy has ignited strong resistance from business groups. The US Chamber of Commerce has taken the matter to court, branding the new fee “plainly unlawful.” Neil Bradley, the Chamber’s executive vice president, argued that the $100,000 charge “will make it cost-prohibitive for US employers, especially start-ups and small and midsize businesses, to utilise the H-1B programme.”
