DHS Secretary Kristi Noem hosts a press conference on October 4, 2025, in Minneapolis, Minnesota, highlighting the successes of US Immigration and Enforcement (ICE) | DHS Photo by Mikaela McGee.
WASHINGTON, D.C. — The Department of Homeland Security (DHS) has finalized sweeping changes to the H‑1B visa selection process, replacing the long‑standing random lottery with a weighted system designed to favor higher‑skilled and higher‑paid foreign workers. Officials say the reform aims better to protect American workers’ wages and job opportunities while curbing manipulation of the visa program.
New Weighted System Replaces Lottery
Under the new rule, effective Feb. 27, 2026, H‑1B registrations will be entered into the selection pool multiple times based on the wage level offered for the job. Positions paying at Wage Level IV will receive four entries, Level III three entries, Level II two entries, and Level I one entry, significantly increasing the odds for higher‑paid roles.
The changes will apply to the FY 2027 H‑1B cap season, which begins next year. DHS says the system maintains access for employers at all wage levels but shifts incentives toward hiring workers whose compensation reflects higher skill and market demand.
DHS Says Reform Protects U.S. Workers
Matthew Tragesser, spokesperson for U.S. Citizenship and Immigration Services (USCIS), said the previous random lottery had been “exploited and abused” by employers seeking to hire lower‑wage foreign labor. “The new weighted selection will better serve Congress’ intent for the H‑1B program and strengthen America’s competitiveness by incentivizing American employers to petition for higher‑paid, higher‑skilled foreign workers,” he said.
The rule aligns with other administration actions, including a Presidential Proclamation requiring employers to pay an additional $100,000 per visa, a measure intended to deter misuse and ensure employers demonstrate a strong need for foreign talent.
Reactions: Supporters Cite Worker Protections
Public comments included in the Federal Register show significant support from labor advocates who argued the weighted system would reduce wage suppression and discourage mass low‑wage filings. Supporters said the rule “protects U.S. workers and wages” and helps ensure the program serves its original purpose of filling genuinely high‑skilled roles.
Some commenters also noted positive impacts for recent U.S. graduates, arguing that prioritizing higher‑skilled roles could benefit international students who complete advanced degrees in the United States.
Critics Warn of Harm to Startups, Nonprofits, and Entry‑Level Workers
However, the Federal Register also documents strong opposition from immigration lawyers, universities, and business groups. Critics said the rule could disadvantage entry‑level workers, mid‑level professionals, and international students, many of whom begin their careers at lower wage levels despite high qualifications.
Advocacy groups for small businesses and nonprofits warned the system could “negatively impact small businesses, startups, and nonprofits” that cannot match the wage levels of large corporations, potentially shrinking their access to global talent.
Universities and research institutions expressed concern that the rule could harm STEM fields, academic institutions, and healthcare sectors, especially in rural or underserved communities where wage levels are structurally lower.
Next Steps for Employers
USCIS is urging employers to review the full text of the final rule and prepare for new documentation requirements. Registrants must now provide the job’s SOC code, wage level, and location during the electronic registration stage, and petitions may be denied if employers alter job details after selection in ways that appear intended to manipulate the process.
