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The United States government recently announced a , which will affect highly educated workers from abroad who are seeking jobs in the U.S. This policy could have ripple effects for Canada by reducing the emigration of Canadians going to work in the U.S.—and by attracting a talented workforce to the country.

The H-1B visa program was created in 1990 for applicants with at least a bachelor's degree or higher to work in the U.S. The for professionals from abroad who graduate with a master's or doctorate from an American institution of higher learning.

The recent announcement regarding the fee increase that have long relied on the visa to employ foreign workers in the U.S. . Tech companies have been pushing U.S. Congress to expand the visa program due to the high demand and competition for the H-1B.

Instead, this massive increase in fees will make it much more expensive for firms to hire highly educated and skilled immigrants.

The impact on Canadians

Approximately , many of whom moved to the country via employment channels. Canadians made up 1% of the total H-1B applications in 2019, and the new H-1B visa fee could reduce the number of Canadians moving to the U.S. for work.

This is especially true in the tech sector, as noted by Prime Minister Mark Carney in his at the Council of Foreign Relations in New York:

"We are a leading developer of AI. And our research universities are some of the biggest producers in volume of AI, computing and quantum talent in the world. Unfortunately, most of them go to the United States. I understand you're changing your visa policy, I hear, so going to hang onto a few of those."

But another possibility is that American businesses could shift towards using the —an American nonimmigrant visa for citizens of Canada and Mexico to work in specific professional-level jobs—to hire more Canadian workers. Canadians are eligible for the work permit under the .

These companies could then bypass paying the new H-1B visa fee while still hiring Canadian talent.

Competition for global talent

Various countries, including Canada, are . For many highly educated people from abroad seeking work in the U.S., especially recent international graduates of American universities, the new visa fee might result in fewer employment opportunities. As they start to look elsewhere, Canada could be an attractive destination if immigration pathways can be provided in a timely fashion.

Research has also shown that when faced with restrictions on immigration policies to hire skilled immigrants, U.S.-based multinational companies have responded , particularly in India, China and Canada.

So Canada should be proactive in working with these companies as they plan alternate pathways to retain their workforce.

This sudden and drastic change in the H-1B visa fee by the Donald Trump government presents a window of opportunity for Canadian policymakers to react quickly and offer pathways to recruit such foreign talent. The Canadian government seems to be paying attention. :

"Not as many of those people are going to get visas to the United States. And these are people with lots of skills that are enterprising, and they're willing to move to work …. So it's an opportunity for Canada, and we're going to take that into account. And we'll have a clear offering on that."

Crises can create opportunities

A policy window opens while there is a favorable political climate. This allows policymakers to link the problem to a solution and advocate for change.

In the current environment, policy officials inside and outside of government can provide ideas on creating targeted policies and pathways to recruit talented workers to Canada.

An example of such a targeted initiative was seen in 2023, when the Canadian government, while announcing its .

It became clear that Canada was regarded as a popular alternative when applications closed within 24 hours .