Trump’s $100k H-1B visa may benefit Canada's tech sector’s hunt for international workers

As the Trump administration moves to limit skilled workers entering the U.S., the Canadian tech sector is positioning itself to benefit from the disruption. The H-1B visa, widely used by U.S. companies to recruit international tech talent, now comes with a $100,000 fee for new applications, forcing firms to either pay steeply for recruits or look elsewhere, potentially north to Canada, according to CBC News.

Becky Fu von Trapp, an immigration lawyer and founding partner at Von Trapp Law PLLC in Stowe, Vt., explaining the pressure on workers, told CBC, “They want to stay in America, but the lottery system and visa limits forced them out. Canada has built an entire industry by capturing this talent. And with this $100,000 fee, that trend is about to grow much stronger. This is almost a gift because every time the U.S. closes the door on global talent, Canada gains.”

Immigration lawyers, recruiters, and executives agree Canada stands to benefit. Andres Pelenur, founding partner at Borders Law Firm in Toronto, talked about how there's going to be a net benefit effect for Canada across the board.

While the H-1B visa isn’t exclusive to tech, 60% of holders approved since 2012 have computer-related jobs, according to Pew Research. Big names like Apple, Amazon, and Google rely heavily on this visa. Yet even with H-1B approval, the path to U.S. permanent residency can take up to a decade.

“I think we'll see a lot of people overseas who were planning to enter the U.S. on an H-1B, who are now going to pivot towards Canada and try to see if they can get a job here,” industry observers told CBC. Smaller and mid-sized companies unable to afford the $100,000 fee may open Canadian offices instead, keeping talent in North American time zones at lower cost.

Martin Basiri, CEO of Passage in Toronto, noted that U.S. companies may also recruit Canadian workers via the TN visa, which allows temporary work in the U.S. for up to three years with indefinite renewals. Canada has previously benefited from U.S. visa restrictions: in 2023, a temporary work permit aimed at H-1B holders hit its 10,000-applicant cap within 48 hours, according to CBC.

While Canada could seize this opportunity, some caution that relying on U.S. visa policy changes is not a sustainable talent strategy. Daniel Wigdor, CEO of AXL, an incubator for Canadian AI companies, told CBC, “One of the reasons people want to go to Northern California to work and they're willing to take a risk for their family is, if it doesn't work out at Company A, they can walk down the street to Company B. The more that Canada can attract international companies to its shores, the more we actually provide a lot of freedom for people to do some exciting work here in Canada.”

The Trump administration’s H-1B visa changes may have created a short-term disruption, but for Canadian tech, it is an opportunity to capture and retain top global talent.