Beyond the Headlines: Will Canada Benefit from the New $100,000 H-1B Fee?

The U.S. immigration landscape shifted dramatically last week when President Trump signed a Proclamation requiring a $100,000 fee for new H-1B petitions. The announcement has caused understandable concern among U.S. employers, foreign workers, and students planning long-term careers in America.

In the immediate aftermath, some observers suggested that Canada might emerge as the big winner, attracting highly skilled workers and employers discouraged by U.S. restrictions. But is the reality that simple?

The U.S. Policy Change at a Glance

  • The $100,000 fee applies to new H-1B petitions filed on or after September 21, 2025.
  • Renewals, amendments, and extensions are not subject to the new fee.
  • The Proclamation aims to discourage broad use of the H-1B program and prioritize American workers.

This move raises the cost of U.S. employment sponsorship substantially — leading many to ask if Canada could see an influx of talent.

Canada’s Immigration Landscape

Canada has long positioned itself as an attractive destination for global talent, particularly in the technology sector. Programs such as the Global Talent Stream, Express Entry, and Start-Up Visa Program have offered faster processing and clear pathways to permanent residence.

However, Canada also faces challenges:

  • Immigration Caps: The federal government reduced annual targets in 2025 by about 20%, citing housing pressures, healthcare strain, and youth unemployment.
  • High Wage Requirements: Under the Global Talent Stream, salaries in cities like Toronto and Vancouver must often exceed CAD $150,000 — a level that can be difficult for smaller employers.
  • Economic Strain: With more than three million temporary immigrants already in Canada, questions remain about integration and long-term employment prospects.

What This Means for Employers and Workers

While Canada will likely continue to attract some high-skilled professionals who are deterred by U.S. policies, it is not a one-to-one substitute for the H-1B program. Instead, companies and individuals will need to carefully evaluate:

  • Cross-Border Workforce Planning: Some firms may maintain U.S. operations while placing part of their workforce in Canada.
  • Permanent Residence Pathways: Canada’s Express Entry and other programs offer stability that the U.S. H-1B often lacks.
  • Global Alternatives: With restrictions rising in both the U.S. and Canada, some employers may look to other hubs in Europe or Asia for cost-effective solutions.

NPZ Law Group’s Perspective

At NPZ Law Group, we understand the need for creative, practical solutions. That’s why we have a dedicated Canadian immigration practice based in Toronto, with experienced staff assisting individuals and businesses with all aspects of Canadian immigration.

Whether you are an employer reconsidering recruitment strategies, or a skilled worker evaluating your long-term options, NPZ attorneys can guide you through:

  • Assessing Canadian immigration alternatives to the H-1B.
  • Planning dual strategies for the U.S. and Canada.
  • Exploring permanent residence options that provide stability for families and businesses alike.

Frequently Asked Questions (FAQ)

1. Does the U.S. $100,000 H-1B fee automatically drive workers to Canada?
Not necessarily. While some highly skilled workers may consider Canada as an alternative, Canadian immigration caps, wage requirements, and integration challenges mean the shift is not automatic.

2. What Canadian programs are alternatives to the H-1B?
Key options include the Global Talent Stream, Express Entry, Start-Up Visa, and study-to-permanent pathways. Each has unique requirements and timelines.

3. Can NPZ assist with both U.S. and Canadian immigration?
Yes. NPZ Law Group has a Canadian office in Toronto and affiliated offices abroad. Our team is uniquely positioned to assist with both U.S. and Canadian immigration strategies, helping employers and individuals evaluate the best path forward.

Final Thoughts

The new U.S. H-1B fee will certainly influence global hiring decisions, but Canada’s gain is not automatic. The reality is more complex, shaped by wage requirements, immigration caps, and economic considerations on both sides of the border.

What is clear, however, is that cross-border immigration planning has never been more important. For questions about U.S. or Canadian immigration options, please contact NPZ Law Group at info@visaserve.com or call 201-670-0006.