US Will Change H-1B Visa Lottery to Favor High-Paid Workers

The Department of Homeland Security (DHS) has announced a major change to the H-1B work visa selection process, replacing the long-standing random lottery with a new weighted system that prioritizes skilled foreign workers with higher wages.

The DHS has submitted the final rule to the Office of Management and Budget (OMB) for review, which is the last step before formal publication.

How the new system will work

Once approved, the weighted lottery will take effect starting with the fiscal year 2027 H-1B cap season, with registrations opening in March 2026 and the new guidance effective from February 27, 2026, under the US Citizenship and Immigration Services (USCIS).

Under this revised framework, higher-paid positions will receive more entries in the lottery pool. For example, positions in the highest wage tier (Level IV) could receive four entries, while the lowest tier (Level I) gets a single entry.

This approach does not change the annual H-1B cap of 85,000 visas (65,000 under the general cap plus 20,000 for US advanced degree holders), but it significantly increases the likelihood that higher-paid, highly skilled workers will be selected.

Why the change matters

The change addresses longstanding criticisms that the previous random lottery encouraged firms to prioritize lower-wage hires over highly skilled talent. By linking selection odds to prevailing wage levels, employers have an incentive to offer competitive compensation, which could raise overall salary standards for H-1B workers.

The DHS says this system better reflects congressional intent and improves fairness in H-1B allocation while maintaining the overall visa limit.

For additional context on how US policy changes in 2025 have affected travel and business flows, see our explainer on the impact of Trump-era policies on travel.

Photo by Lucas Sankey on Unsplash