No More H-1B Lottery, US Notifies New Process For Work Visas

The overhaul follows a series of actions by the Trump administration aimed at reshaping a visa programme that critics say has become a pipeline for overseas workers willing to work for lower pay, but supporters say drives innovation.

24 Dec 2025, 01:51 · NDTV

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The Trump administration will replace the H-1B visa lottery with a weighted system by 2026
The new rule favors higher-paid, skilled foreign workers over entry-level applicants
H-1B visas are capped at 85,000 annually, including 20,000 for advanced degree holders

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The Donald Trump administration in the United States is replacing its longstanding H-1B work visa lottery system with a new weighted approach that prioritises skilled, higher-paid foreign workers, a change expected to make it significantly harder for entry-level professionals, including those from India, to secure work visas in America.

The overhaul follows a series of actions by the Trump administration aimed at reshaping a visa programme that critics say has become a pipeline for overseas workers willing to work for lower pay, but supporters say drives innovation.

According to the Department of Homeland Security, the new rule will take effect on February 27, 2026. It will govern the allocation of approximately 85,000 H-1B visas annually beginning with the fiscal 2027 registration season.

“The existing random selection process of H-1B registrations was exploited and abused by US employers who were primarily seeking to import foreign workers at lower wages than they would pay American workers,” said US Citizenship and Immigration Services (USCIS) spokesman Matthew Tragesser.

ALSO READ: Google To Resume Green Card Sponsorship For H-1B Holders In 2026: Eligibility Details Inside

Trump's H-1B Visa Overhaul

A press release announcing the new rule says it is “in line with other key changes the administration has made, such as the Presidential Proclamation that requires employers to pay an additional $100,000 per visa as a condition of eligibility.”

The new system will “implement a weighted selection process that will increase the probability that H-1B visas are allocated to higher-skilled and higher-paid” foreign workers, according to Tuesday's press release. It will go into effect on February 27, 2026, and will apply to the upcoming H-1B cap registration season.

Earlier this year, President Donald Trump signed a proclamation imposing a $100,000 annual fee on H-1B visas for highly skilled workers, which is being challenged in court. The president also rolled out a $1 million “gold card” visa as a pathway to US citizenship for wealthy individuals.

ALSO READ: US Embassy's 'H-1B, H-4 Visa Alert' Amid Enhanced Vetting And Interview Delays

Significance Of H-1b Visa For Indians

The H-1B visa programme is used extensively by American technology companies to employ foreign workers. Indian professionals, including technology workers and physicians, form one of the largest groups of H-1B visa holders. The visa system has been a critical pathway for young Indian professionals seeking career opportunities in the US. But the higher pay criteria will make it harder for young professionals to qualify for the programme.

Historically, H-1B visas have been awarded through a lottery system. This year, Amazon was by far the top recipient, with more than 10,000 visas approved, followed by Tata Consultancy Services, Microsoft, Apple, and Google. California has the highest concentration of H-1B workers.

ALSO READ: Why Google, Apple, Microsoft Are Warning H-1B Visa Workers Not To Travel Abroad

Supporters of the H-1B programme say it is an important pathway to hiring healthcare workers and educators. They say it drives innovation and economic growth in the US and allows employers to fill jobs in specialised fields.

Critics argue that the visas often go to entry-level positions rather than senior roles requiring specialised skills. While the programme is intended to prevent wage suppression or the displacement of US workers, critics say companies can pay lower wages by classifying jobs at the lowest skill levels, even when the workers hired have more experience.

The number of new visas issued annually is capped at 65,000, plus an additional 20,000 for people with a master's degree or higher.

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