On December 23, 2025, the Department of Homeland Security (DHS) announced the anticipated new rule to revise the H-1B cap registration selection process. The Final Rule replaces a random selection process with a system that favors the highest paid foreign nationals, increasing the probability of their selection for an H-1B visa number under the statutorily limited quota of 65,000 per federal fiscal year, with another 20,000 set aside for foreign nationals who earn an advanced degree from a U.S. university. H-1Bs account for approximately 0.5% of the U.S. workforce.
The new system will weigh entries based on the U.S. Department of Labor’s Occupational Employment and Wage Statistics (OEWS) wage Levels I–IV. H-1B registrations assigned a wage Level IV will be entered in the H-1B lottery pool four times, while Level III receives three entries, Level II two entries, and Level I one entry.
Currently, applicants at all four salary levels have a 29.59% chance of being selected for an H-1B petition. As noted by Forbes reporter Stuart Anderson, “Under the rule, a person at Level I would see their selection chances drop to only 15.29%. In comparison, individuals at Level IV would see the probability of being selected surge to 61.16%. Individuals at Level III would see their opportunity of being selected increase to 45.87% under the proposed rule, and H-1B registrants at Level II would experience a slight increase to 30.58%. This rule is likely to negatively impact international students who are recent graduates seeking to convert from OPT/ STEM OPT to an H-1B; smaller employers and start-ups which cannot compete with salaries offered by some large multinational employers; and entry-level research positions.
U.S. Citizenship and Immigration Services (USCIS) will require additional data during the H-1B registration process, including the proffered wage, Standard Occupational Classification (SOC) occupation code, and employment area. Petitioners will also have to include this information, along with evidence supporting the asserted wage level, when filing the cap-subject petition.
This final rule will be effective February 27, 2026, and will therefore apply to the fiscal year (FY) 2027 H-1B cap registration period which we anticipate will open in March 2026.
LAC will provide additional updates on the H-1B cap registration and selection process as information becomes available.
Additional Information:
- DHS Press Release: DHS Changes Process for Awarding H-1B Work Visas to Better Protect American Workers | USCIS
- Forbes article: DHS Finalizes Controversial Immigration Rule On H-1B Lottery