President Donald Trump’s new H-1B visa policy, which includes a proposed $100,000 application fee, is poised to significantly impact Wall Street alongside Big Tech. Major financial institutions such as JPMorgan, Goldman Sachs, and Citi have historically relied on these visas to recruit highly skilled international workers for roles ranging from junior bankers and technologists to risk managers and traders. Experts warn that this steep fee could disrupt hiring practices, making it more challenging for international students to secure finance roles in the U.S. and potentially pushing firms to outsource technology needs abroad. According to Ted Chiappari of Duane Morris, demand for H-1B visas may shrink to only the most critical, high-paying positions, with JPMorgan predicting a reduction of 5,500 work authorizations monthly due to the policy change.
The financial burden of the new visa fee could reshape career trajectories for international students and junior professionals. Entry-level positions in finance, such as analysts earning around $185,000 with bonuses, may no longer justify the $100,000 sponsorship cost, leading banks to favor domestic candidates. This shift could deter international students from pursuing finance tracks in U.S. universities, as noted by Chiappari, who emphasized the decreased attractiveness of studying in America. Recruiters like Meridith Dennes of Prospect Rock Partners highlight the dilemma for hiring managers, where the added expense forces tough decisions between equally qualified candidates, potentially sidelining talented individuals from overseas.
In response to these challenges, Wall Street firms may accelerate the offshoring and outsourcing of roles, particularly in technology. While the policy could drive some hiring of American tech talent, financial giants like Goldman Sachs already have established hubs in countries like India, which might see increased recruitment to compensate for reduced H-1B visa usage. However, not all tech roles are easily replaceable; high-demand positions with competitive salaries may still warrant visa sponsorship, especially if exemptions apply. Bo Cooper of Fragomen law firm pointed out that proposed changes to the H-1B lottery, prioritizing higher-wage candidates, could benefit the finance industry’s well-compensated roles. Ultimately, while larger firms with ample resources might absorb the fee as a minor expense, smaller entities are already feeling the impact, with some, like a multistrategy hedge fund, opting against hiring foreign talent due to the cost.
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