News Alert: New Year, New H-1B Rules - what you need to know

Image by Gerd Altmann from Pixabay. The Department of Homeland Security (DHS) has officially finalized a rule that fundamentally changes the H-1B visa process. Moving away from the traditional random lottery, the U.S. Citizenship and Immigration Services (USCIS) will now implement a weighted selection process designed to favor higher-skilled and higher-paid workers. Learn more in our News Alert.

What is Changing?

Previously, every unique beneficiary had the same mathematical chance of being selected. Under the new rule, your "weight" in the selection pool depends on your proffered wage level relative to the Department of Labor’s (DOL) wage data for your specific job and location.

Why the Change?

DHS and USCIS aim to protect the American labor market and fulfill the original intent of the H-1B program with their professed key objectives include:

  • Preventing Abuse: Curbing the practice of "flooding" the system with low-wage, lower-skilled workers to replace U.S. labor.

  • Attracting Top Talent: Incentivizing companies to recruit the "best and brightest" by giving them a clearer path to a visa.

  • Economic Security: Ensuring foreign labor supplements the U.S. workforce rather than depressing wages.

Key Stats & Impact

DHS project significant shifts in who will receive visas under this system:

  • Level I Workers: Probability of selection is expected to drop by approximately 48%.

  • Level IV Workers: Probability of selection is expected to increase by approximately 107%.

  • Wage Increases: DHS estimates the change will result in over $502 million in annual wage increases for the H-1B population in the first year alone.

  • Small Business Presence: Small entities (fewer than 500 employees) still make up 76% of H-1B petitioners, and while many file at Level I, the weighted system maintains their ability to compete for high-skill talent.

What else should I know?

  • Effective Date: The rule is effective February 27, 2026.

  • First Season: It will be in place for the FY 2027 cap registration (typically beginning in March 2026).

  • Bona Fide Job Offers: USCIS is tightening oversight. If a company "baits and switches" by promising a Level IV wage to get selected and then files a petition for a lower wage, the petition can be denied or revoked.

This is a new development so stay tuned as we monitor these changes. Follow us on InstagramTwitterFacebookLinkedInTumblr and TikTok, for up-to-date immigration news.

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