Michigan Attorney General Dana Nessel, along with a 20-state coalition, has filed a lawsuit challenging the Trump Administration's $100,000 fee on new H-1B visa petitions, which applies to applications filed after September 21. The lawsuit argues that the fee violates the Administrative Procedure Act and could strain public sector and government employers, affecting nearly 12,000 H-1B visa holders in Michigan, according to the Department of Attorney General.
AG Nessel stated, "The H-1B visa program is meant to attract and retain highly skilled workers, and slapping a massive fee on the very people who help educate our students, keep our auto industry competitive, and provide critical medical care is not only unlawful but harmful to Michiganders." H-1B visas, which are exempt from the 65,000 annual cap for government and non-profit organizations, are crucial for filling critical roles in healthcare, education, and technology, as reported by the Department of Attorney General.
The lawsuit says the fee could make it harder for schools and hospitals to hire international workers. Schools reported that 74% had trouble filling positions in 2024–2025, and healthcare could face a shortage of 86,000 physicians by 2036. The attorneys general argue the fee is higher than previous H-1B fees, which were based on processing costs and followed public input rules under the APA. States including California, New York, and Oregon support the lawsuit, which aims to cancel the fee and maintain access to H-1B workers in education and healthcare, as stated by the Department of Attorney General.
