U.S. IMMIGRATION UPDATE: Changes to H-1B Regulations & Lottery Registration Planning
What is an H-1B Visa?
The H-1B is an employment-based nonimmigrant visa which allows foreign individuals to work in the U.S. for up to six (6) years in a specialty occupation. "Employment-based" means that the U.S. employer must sponsor the prospective foreign worker for the H-1B visa through the filing of a petition with United States Citizenship and Immigration Services (“USCIS”). "Specialty occupation" means a position that requires specialized knowledge and skills, and at least a related Bachelor's degree in that specialty. The H-1B also requires that the U.S. employer pay the H-1B employee the same or higher wage than is paid to workers in similar occupations in the geographical area of the proposed employment, often referred to as the “prevailing wage”. All fees and expenses for this visa category must be paid by the employer.
New Wage-Based Selection Process
This year, USCIS will shift from a random, computer-generated selection process to a selection process that prioritizes higher-paid foreign workers by giving them a greater chance of selection in the H-1B cap lottery, while still allowing entry-level workers to participate. The weighted selection process will use the prevailing wage levels. When a company registers a foreign national in the H-1B lottery, they will need to provide the wage level (1-4) as well as the occupational code and area of employment. Those at Level 4 will have 4 entries/chances to be selected, Level 3 will have 3 entries/chances, Level 2 will have 2, and finally Level 1 will have 1.
H-1B Lottery Registration & Planning for Employers
Each Fiscal Year, USCIS accepts H-1B petitions to be counted against the annual quota (the "H-1B cap") six (6) months prior to the employment start date. For the upcoming Fiscal Year 2027 (“FY2027”), set to begin on October 1, 2026, USCIS will conduct an Electronic Registration system that will require an H-1B registration submitted by the petitioning employer to be selected by USCIS prior to being permitted to file an H-1B petition under the cap.
USCIS announced that the registration period for FY2027 will open at noon Eastern on March 4, 2026 and run through noon Eastern on March 19, 2026. During this period, prospective petitioners and representatives must use a USCIS online account to register each beneficiary electronically for the selection process and pay the registration fee of $215 for each beneficiary.
If USCIS receives enough registrations for unique beneficiaries by March 19, 2026 to fulfill the cap, the agency will conduct a random, computer-generated selected process. USCIS intends to notify prospective petitioners and representatives of selected registrations by March 31, 2026. Petitioners will then be permitted to file H-1B petitions for selected beneficiaries typically between April 1, 2026 through June 30, 2026.
The H-1B cap for new H-1B visas is 65,000 for the Bachelor’s degree category and an additional 20,000 visas are available to beneficiaries who possess a Master's or higher degree from a U.S. university or college. A beneficiary qualifies for an H-1B under the additional 20,000 allotment only if he/she has been conferred their advanced degree before the petition is filed.
Early planning is key. Employers should contact us no later than February 23, 2026 to prepare all H-1B lottery registration requests.
DISCLOSURE: This publication is intended for informational purposes only and is not intended to provide legal advice.