It isn’t just ICE who prevents illegal immigration. It’s a team effort.
And now the Labor Department turned off the tap on immigration fraud with one consequential decision.
Trump Administration Rolls Out H-1B Reforms to Prioritize American Workers
The Department of Labor announced Friday the launch of Project Firewall, a targeted enforcement effort aimed at curbing misuse of the H-1B visa program and ensuring employers prioritize qualified U.S. hires for high-skilled positions.
This initiative aligns directly with President Donald Trump’s proclamation signed the same day, which imposes stricter controls on foreign worker entries to address perceived abuses that displace American talent. The combined measures seek to restore balance in the labor market, where critics have long pointed to outsourcing firms securing thousands of visas while laying off domestic staff—for instance, one firm approved for over 5,000 H-1B workers in fiscal 2025 amid 16,000 U.S. job cuts.
Labor Secretary Lori Chavez-DeRemer, in a department press release, outlined the program’s focus on compliance, stating, “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.
Launching Project Firewall will help us ensure no employers are abusing H-1B visas at the expense of our workforce.” She added, “By rooting out fraud and abuse, the Department of Labor and our federal partners will ensure that highly skilled jobs go to Americans first.” The effort builds on Trump’s broader agenda to reform immigration pathways that support economic growth without undermining local employment.
Details of Trump’s Proclamation Target Program Abuses
Titled “Restriction on Entry of Certain Nonimmigrant Workers,” the presidential proclamation takes effect at 12:01 a.m. Eastern Daylight Time on September 21, 2025, and lasts for 12 months unless extended.
It directs federal agencies to reduce fraud by excluding foreign workers from entry-level roles essential for U.S. graduates and requires a one-time $100,000 payment per new H-1B petition submitted after the effective date. This fee applies only to new applicants outside the U.S. participating in future lotteries, sparing current visa holders and renewals to avoid disrupting ongoing operations.
The order highlights exploitation in the program, originally designed for additive high-skilled roles but now criticized for replacing Americans with lower-wage imports, particularly in IT where H-1B holders comprise over 65% of the workforce.
Agencies including the Departments of State, Labor, and Homeland Security must coordinate implementation, with the Labor Secretary tasked to revise prevailing wage rules and Homeland Security to prioritize higher-paid applicants. Tech firms like Amazon and Microsoft, major H-1B users, have advised affected employees to stay stateside amid initial confusion, though officials clarified no retroactive impacts.
Project Firewall Empowers DOL Investigations and Penalties
Under Project Firewall, DOL investigators will scrutinize employers for H-1B compliance, a process Chavez-DeRemer will personally certify for the first time in department history, invoking authority for cases showing reasonable cause of violations.
This hands-on oversight aims to deter practices like underpaying workers or bypassing U.S. hires, with penalties including back wages recovery, civil fines, and temporary bans from the program. The department also plans interagency coordination to address discrimination against Americans, leveraging federal resources for enforcement.
While the initiative does not bar foreign talent outright, it enforces statutory requirements that H-1B roles offer wages and benefits comparable to U.S. workers, potentially reshaping hiring in sectors like technology and engineering where India receives about 71% of approvals.
As the program rolls out, it could generate significant revenue—potentially billions annually—while prompting employers to invest more in domestic training, though some industry voices warn of talent shortages if reforms prove overly stringent.
