The Department of Homeland Security unveiled a major overhaul of the H-1B work visa award process on Tuesday, ending the long-used lottery and replacing it with a system that favors higher-skilled and higher-paid foreign workers.
The change is the latest move by the Trump administration to remake the popular visa program, which has drawn sharp debate for years. Opponents argue the system has been used by employers to hire foreign workers at lower wages, while supporters say it is essential for innovation and for filling critical labor gaps.
“The existing random selection process of H-1B registrations was exploited and abused by U.S. employers who were primarily seeking to import foreign workers at lower wages than they would pay American workers,” said U.S. Citizenship and Immigration Services spokesman Matthew Tragesser.
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Under the new framework, visas will no longer be distributed purely by chance. Instead, the government will introduce what it describes as a weighted selection process designed to increase the likelihood that visas go to applicants with higher skills and higher salaries. The rule is scheduled to take effect on Feb. 27, 2026, ahead of the next H-1B cap registration season.
A DHS press release said the change 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.”
Earlier this year, President Donald Trump signed a proclamation imposing a $100,000 annual fee on H-1B visas for highly skilled workers, a move that is now facing legal challenges. The administration has also introduced a separate $1 million “gold card” visa program that offers wealthy individuals a path to U.S. citizenship.
For decades, H-1B visas have been awarded through a lottery because demand far exceeds supply. In the most recent cycle, Amazon received the highest number of approvals, with more than 10,000 visas, followed by Tata Consultancy Services, Microsoft, Apple, and Google. California continues to host the largest share of H-1B workers nationwide.
Supporters of the program say it plays a crucial role in recruiting healthcare professionals, educators, and specialists in highly technical fields. They argue that the visas fuel economic growth and help U.S. companies remain competitive globally.
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Critics counter that many of the visas are used for entry-level roles rather than advanced positions that require rare expertise. Although the program includes safeguards meant to prevent wage suppression and the displacement of American workers, critics argue that companies can still offer lower pay by classifying jobs at the lowest skill levels, even when hiring experienced individuals.
Each year, the H-1B program is reportedly capped at 65,000 new visas, with an additional 20,000 reserved for applicants who hold a master’s degree or higher.
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