Governor Lou Leon Guerrero‘s administration is exploring options for Guam to obtain an exemption from a recent executive order issued by the Trump administration. This order introduces a significant fee increase for new H-1B visa petitions, raising the cost from $215 to $100,000 for foreign professionals in specialized roles. This change could adversely affect businesses on the island that depend on H-1B visa holders, particularly in sectors such as healthcare and engineering.
The executive order, announced on September 19, 2023, has raised concerns within Guam’s business community. The new fee will take effect on September 21, 2023, at 12:01 a.m. Eastern Standard Time, impacting only new visa applicants, as clarified by the White House. Current visa holders will not be affected by this fee when re-entering the United States, a statement issued by White House Press Secretary Karoline Leavitt confirmed.
Concerns Over Impact on Guam’s Workforce
The implications of the new fee structure are considerable for Guam, which relies on foreign professionals to fill critical gaps in its workforce. The island is currently facing shortages in essential services, including medicine and engineering. Krystal Paco-San Agustin, the director of communications for the Governor’s office, emphasized that Guam’s unique role in national defense, alongside its healthcare and construction needs, positions it well for potential national interest exemptions from this policy.
She stated, “We believe Guam’s role in the nation’s defense—together with buildup-connected needs in health care, construction, and related industries—falls squarely within that definition.” The administration plans to work closely with James Moylan, Guam’s delegate to Congress, to ensure that federal agencies recognize the island’s unique circumstances.
The White House’s announcement about the H-1B visa fee has also created confusion among workers and businesses in Guam. Leavitt reassured that the new fee applies solely to new applicants and does not affect existing visa holders. “Those who already hold H-1B visas and are currently outside of the country right now will NOT be charged $100,000 to re-enter,” she stated.
Focus on Future Developments
The new executive order not only introduces the hefty fee for H-1B visas but also proposes a $1 million “gold card” visa aimed at wealthy individuals seeking a pathway to U.S. citizenship. These changes could face legal scrutiny, as concerns mount regarding the president’s authority to enact such measures without Congressional approval.
Moylan’s office is actively seeking clarification on how this policy could impact Guam’s healthcare professionals and other critical workers. They are awaiting formal responses from federal contacts regarding potential exemptions and the overall effect on essential projects and federal contractors operating on the island.
Data from U.S. Citizenship and Immigration Services indicates that a significant portion—64%—of H-1B petitions approved in fiscal year 2024 were for computer-related roles, followed by architecture and engineering. Although critics argue that H-1B visa holders often accept lower wages than American workers, the median annual compensation for approved petitions stands at $120,000.
Paco-San Agustin noted that more comprehensive guidance is expected in the coming days and weeks, adding, “What we know now may change as federal guidance documents are written, scrutinized, and further defined.”
In contrast to the H-1B visa program, Guam’s largest source of foreign labor is through the H-2B labor visa program, which predominantly supports construction and military-related projects. Paco-San Agustin confirmed that the H-2B program remains unaffected by the new executive order.
As the situation continues to unfold, both the Governor’s office and Moylan’s office have pledged to keep the public informed about developments and to advocate for measures that safeguard the interests of Guam’s families and economy. “Our commitment is to ensure that Guam’s families and economy remain strong,” Paco-San Agustin said.