Under a new Department of Homeland Security proposal, colleges and universities would face a staggering $70,000 charge to recommend an international graduate for employment authorization through the Optional Practical Training program, better known as OPT.
An additional $30,000 would apply to subsequent authorization, including extensions available to graduates in certain science and technology fields.
That means the proposed institutional fees could reach $100,000 for a student who receives both initial authorization and a qualifying extension.
The changes have not been finalized, but they are already raising serious questions about the future of foreign student employment in America.
Trump Administration Targets a Major Foreign Worker Pipeline
For years, OPT has provided international students with an opportunity to enter the American labor market after earning degrees from U.S. institutions.
The program allows eligible foreign graduates holding F-1 visas to work temporarily in positions connected to their academic studies.
Most participants can obtain employment authorization for up to one year.
Graduates with qualifying degrees in science, technology, engineering, and mathematics can potentially remain employed for another two years.
That makes OPT particularly attractive to technology companies, engineering firms, and other businesses looking to recruit workers with specialized training.
But the Trump administration is questioning whether the arrangement adequately protects American workers.
DHS officials have raised concerns about fraud, weak oversight, and the possibility that some employers use foreign student employment programs to obtain less expensive labor.
The administration’s broader argument is straightforward: immigration policies should not create financial incentives for businesses to overlook qualified Americans.
And the proposed fee structure would make participation considerably more expensive.
Universities Could Face an Enormous Financial Burden
The difference between the existing system and the proposed arrangement is dramatic.
Currently, international graduates generally pay application fees of approximately $500 when seeking employment authorization.
Universities do not face comparable charges simply for recommending students for OPT participation.
Under the proposed changes, however, educational institutions would become responsible for substantial payments before recommending eligible graduates.
The initial $70,000 charge alone would exceed the annual tuition at many American universities.
Schools recommending graduates for qualifying extensions would face another $30,000.
Although universities would technically be responsible for these payments, the financial consequences might not stop there.
Institutions could attempt to recover their expenses through higher international student fees or financial arrangements involving employers.
Others might decide that participating in the program is simply too expensive.
That could leave foreign graduates with fewer opportunities to gain professional experience in the United States.
It could also force companies to reconsider whether recruiting international graduates through OPT makes financial sense.
American Workers Take Center Stage in Immigration Debate
The proposal reflects a central theme of Trump’s immigration agenda: American workers should receive priority in the American labor market.
Supporters of tougher employment restrictions argue that foreign labor programs can undermine domestic hiring when businesses gain access to workers under different employment arrangements.
They also question whether universities have become too financially dependent on international enrollment.
Foreign students frequently pay higher tuition rates than domestic students, providing colleges with a valuable source of revenue.
That financial relationship creates an obvious tension.
Universities benefit from attracting students from overseas, while policymakers must consider whether employment programs serve the broader interests of American workers.
The administration’s proposed changes would place new financial pressure on institutions that rely heavily on international recruitment.
Still, higher fees alone would not establish whether OPT participants have displaced American workers or depressed wages.
Those questions remain important to evaluating the program’s actual economic effects.
Colleges Warn of Potential Fallout
Universities and international education advocates are likely to view the proposal very differently.
For many foreign students, the opportunity to work after graduation is a major reason to choose an American university.
Eliminating affordable access to that opportunity could make competing destinations more attractive.
Canada, Australia, and several European countries offer their own pathways for international graduates seeking professional experience.
Critics of the proposed fees argue that making American employment authorization prohibitively expensive could push talented students toward those alternatives.
The timing is particularly sensitive.
New international student enrollment reportedly declined 17 percent last fall, representing the largest drop since the pandemic.
Some institutions have experienced additional enrollment pressure this year, although comprehensive nationwide figures are not yet available.
A further decline could create budget problems for colleges that depend on international tuition revenue.
Universities might respond by reducing spending, adjusting academic programs, or searching for alternative funding sources.
Supporters of the administration’s approach, however, argue that protecting university finances should not take precedence over protecting domestic employment opportunities.
The Proposal Is Not Yet Law
The administration’s plan is still moving through the federal rulemaking process.
According to the proposal described in the October 8 Federal Register notice, the public comment period is scheduled to continue through November 9.
DHS must consider submitted comments before determining whether to adopt, revise, or abandon the proposed changes.
That means universities and international students are not currently subject to the proposed $70,000 and $30,000 charges.
The administration could also modify the fee amounts or other requirements before issuing a final rule.
The proposal nevertheless signals another significant effort by Trump to reshape the relationship between immigration and employment.
For universities accustomed to recruiting international students with the promise of post-graduation work opportunities, the potential consequences are substantial.
For American workers concerned about competition from foreign labor, the debate raises a different question: whether existing immigration programs provide adequate safeguards for domestic hiring.
And for the Trump administration, the proposal represents another opportunity to put its America First employment agenda into practice.
