TechNet, a lobbying group that represents most of the largest tech companies, had been pushing for the Trump administration to show leniency to the hundreds of thousands of H-1B holders already in the U.S. who lost their jobs in the Covid-19 pandemic and now risk falling into illegal status.

Nandini Nair, an immigration partner at Greenspoon Marder, said the new order would have an “enormous effect” on U.S. companies, particularly those in the tech sector. Many spent thousands of dollars filing paperwork for each H-1B visa applicant, she said.