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Donald Trump's crackdown on immigration: H-1B visas set to get costlier, work permits for Indians may take a hit – 10 things to know about 'Project Firewall'

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The US department of labour has launched " Project Firewall " on Friday, an initiative that will target H-1B visas. The move aligns with President Donald Trump 's "America First" agenda in the job market and comes on the same day he signed an executive order requiring payment of $100,000 with every H-1B petition.

According to officials, "Project Firewall" will safeguard wages and job opportunities for American workers while punishing people who misuse the H-1B program.


10 key things you need to know:

What is Project Firewall?

Project Firewall is a department of labour initiative aimed at ensuring US employers do not exploit the H-1B visa program . It seeks to protect American workers by scrutinising companies that hire foreign employees, especially in high-skill sectors like technology.

Also read: Big change for H-1Bs: Donald Trump signs proclamation imposing $100k annual fee on visa application; aim to protect US tech jobs


Why it matters

For tech companies and industries that rely heavily on H-1B workers, Project Firewall could mean tougher scrutiny, higher costs, and stricter compliance requirements. For American workers, it’s being sold as a safeguard against job displacement. Project Firewall, paired with Trump’s new $100,000 annual H-1B fee, could reshape the tech industry by making it costlier for US firms to hire foreign talent—particularly Indians, who account for nearly three-quarters of all H-1B recipients.

For Silicon Valley giants and IT services firms, this means higher expenses, tighter hiring pipelines, and possible delays in critical projects that rely on specialised engineers and programmers. With American universities still not producing enough skilled workers to meet demand, the crackdown risks deepening the talent gap, hitting innovation and competitiveness just as the US battles global rivals in AI, semiconductors, and advanced tech.

Also read: To cost up to $5 million: What Trump Gold card looks like? How it differs from Corporate Gold & Platinum

Trump's influence

The initiative mirrors Trump's agenda of prioritising American workers and his pledge to curb foreign worker visas. The timing—same day as his executive order—shows a coordinated push.

Americans first push

"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," the department said in its press release.

What did Trump say?
Trump, while announcing Gold Card targeted illegal aliens, emphasising that it will make the immigration system more robust. "Today we are proud to announce THE TRUMP GOLD CARD. The Card will be available for $1 Million Dollars for individuals, and $2 Million Dollars for Corporations. For far too long, we have had millions of Illegal Aliens pouring into our Country, and our Immigration System was broken. It is beyond time that the American People, and American Taxpayers, are benefitting from our LEGAL Immigration System. We anticipate THE TRUMP GOLD CARD will generate well over $100 Billion Dollars very quickly. This money will be used for reducing Taxes, Pro Growth Projects, and paying down our Debt," he said in a post on Truth Social.


In a post on X, the department of labour declared, “The days of employers abusing H-1B visas are over. Introducing PROJECT FIREWALL—our plan to ensure high-skilled jobs go to AMERICANS FIRST.”

Secretary of labour’s oversight

For the first time in history, the secretary of labour—currently Lori Chavez-DeRemer—will personally certify the initiation of H-1B investigations . This move underscores the seriousness of the crackdown.

How investigations will work

Using authority already granted under federal law, the department will investigate companies suspected of H-1B fraud or abuse. Investigations can be triggered by “reasonable cause” that an employer is not complying with visa rules.

Penalties for violators

Employers caught violating the rules face tough consequences:

  • Repayment of back wages to affected workers
  • Civil money penalties
  • Debarment from the H-1B program for a fixed period

Multi-agency coordination

Project Firewall will not act in isolation. The department of labour plans to share information and coordinate with other government agencies to enforce compliance and prevent discrimination against American workers.

The bigger goal

The core aim is to re-establish the principle of “Americans First” in the job market—ensuring highly skilled positions are given to US citizens and not dominated by foreign workers on visas.

Indians are the largest beneficiaries
Also read: Donald Trump hikes H-1B visa fee to $100K to protect US jobs: What it means for Indian workers

This will highly impact Indians, as India was the largest beneficiary of H-1B visas last year. According to government data, around 71 per cent of Indians were the beneficiaries as compared to China, which was a distant second at 11.7 per cent.
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