By Diana George
Copyright timesnownews
The US Department of Labour on Friday launched Project Firewall, a major initiative aimed at cracking down on misuse of H-1B visas. The move coincides with President Donald Trump signing an executive order requiring a $100,000 fee for every H-1B petition, signalling a coordinated push to prioritise American workers in high-skilled sectors. According to officials, Project Firewall will protect US jobs and wages while penalising companies that exploit the H-1B program. “The days of employers abusing H-1B visas are over. Introducing PROJECT FIREWALL – our plan to ensure high-skilled jobs go to AMERICANS FIRST,” the Department of Labour announced on X. What Is Project Firewall? Project Firewall is a US Department of Labour initiative designed to scrutinise employers hiring foreign workers under the H-1B visa program. It targets misuse of the system, particularly in the technology sector, and aims to protect American employees from job displacement. With Trump’s $100,000 H-1B visa fee, the initiative could significantly increase costs for US companies hiring foreign talent, particularly affecting Indians, who make up nearly three-quarters of all H-1B recipients. Also Read: Trump’s $100K H-1B Bombshell: Microsoft, JPMorgan Ask Staff to Return to US By Tomorrow – Indian IT on Edge Why Project Firewall Matters Tech Companies and IT Services: Silicon Valley giants and IT services firms may face higher expenses, compliance requirements, and delays in projects dependent on specialised engineers. American Workers: Project Firewall promises protection of high-skilled jobs, ensuring opportunities go first to US citizens. National Competitiveness: With limited domestic talent in AI, semiconductors, and advanced technologies, stricter H-1B rules could create a talent gap affecting innovation. How Project Firewall Will Work Secretary of Labour Lori Chavez-DeRemer will personally certify H-1B investigations. Companies suspected of H-1B abuse will be investigated based on “reasonable cause” under federal law. Violators may face back wage repayment, civil penalties, and debarment from the H-1B program for a fixed period. The Department of Labour will coordinate with other agencies to enforce compliance and prevent discrimination against American workers. Trump’s Influence and ‘Americans First’ Agenda The initiative reflects Trump’s broader immigration and labour policies. In a press release, the Department said: “The Trump Administration is standing by our commitment to end practices that leave Americans in the dust. As we reestablish economic dominance, we must protect our most valuable resource: the American worker.” Trump has also introduced the Trump Gold Card, targeting illegal immigration, underscoring a coordinated approach to reform US labour and immigration policies. Impact On Indians And Foreign Workers India, being the largest beneficiary of H-1B visas, is expected to feel the biggest impact. Last year, 71% of H-1B visas went to Indians, compared to 11.7% for China. With Project Firewall and the $100,000 fee, companies may rethink hiring foreign talent, particularly in high-demand tech roles. Market Reaction and Criticism Shares of US-listed Indian IT companies fell between 2% and 5% following the announcement, Reuters reported. Critics warn that the policy could limit talent mobility, slow innovation, and weaken America’s global tech leadership. Supporters, however, argue that the reforms will protect American wages and encourage firms to invest more in domestic talent and training programs. Get Latest News Live on Times Now along with Breaking News and Top Headlines from US News and around the World.