The Department of Homeland Security has proposed a new rule that would charge international students tens of thousands of dollars to work in the United States after graduation, a move the agency says is meant to curb what it calls cheap foreign labor.
Under the proposal, holders of F-1 student visas would pay $70,000 for an initial Optional Practical Training (OPT) authorization. Those seeking to extend that authorization would face an additional $30,000 fee.
OPT currently lets eligible foreign students work part-time while studying and full-time for a set period after graduation, at a cost of roughly $500. To qualify, students must work in a field tied to their major, get a recommendation from a designated school official, and receive employment authorization from US Citizenship and Immigration Services. Students who graduate with degrees in science, technology, engineering or math can currently apply for an additional 24-month extension.
A DHS spokesperson defended the proposed fee hike as a corrective measure.
“Optional practical training was never meant to be a back door into the American workforce, a subsidy for cheap labor or a prize for those who game the system,” the spokesperson said. “DHS is upskilling OPT to require foreign students to justify their worth to employers. American workers should not have to compete against a program that has been turned into a pipeline for cheap foreign labor.”
DHS says the change responds to fraud and abuse uncovered by its Student and Exchange Visitor Program, which it says found some schools, school officials, employers and students exploiting the system through non-compliant worksites and so-called “pay-to-stay” visa arrangements. The agency argues the new fee structure would push schools toward “greater oversight and selectivity” when recommending students for OPT.
Legal Challenge Expected
The proposal is likely to face pushback in court. Doug Rand, director of the Talent Mobility Fund, an organization that advocates for attracting foreign STEM talent to the US, said the rule oversteps DHS’s authority.
“Don’t Panic: DHS has no authority to slap a $70k fee on international students,” Rand wrote on LinkedIn. “Let’s not overreact — this proposed rule isn’t going to fare well in the courts, just as the $100k H-1B fee and other restrictionist policies have been struck down.”
The rule is not yet final. It will first go through a public comment period before DHS can move toward implementation.
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