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24 December 2025

US Overhauls H 1B Visa System Favoring High Earners

Sweeping reforms end the random H-1B lottery, prioritize higher-paid applicants, and spark delays and uncertainty for thousands of skilled workers worldwide.

In a sweeping overhaul of the United States' H-1B visa program, the Department of Homeland Security announced that, starting February 27, 2026, the long-standing random lottery system for selecting foreign workers will be replaced by a weighted process that gives priority to higher-paid and higher-skilled applicants. This pivotal change, set to take effect for the 2027 H-1B cap registration season, is already sending ripples through the global technology and business communities, especially in India, the country that supplies the majority of H-1B talent to the US.

For decades, the H-1B program has served as a gateway for US companies to hire foreign professionals in specialized fields such as technology, engineering, and healthcare. Each year, 65,000 visas are issued, with an additional 20,000 reserved for holders of advanced US degrees. But demand routinely dwarfs supply, leading to a fiercely competitive selection process. According to the Department of Homeland Security, the new weighted system is designed to "better align the programme with congressional intent and support US competitiveness." The agency emphasized that the changes are aimed at strengthening protections for American workers while preserving access to foreign talent for US employers.

The old lottery, officials said, was vulnerable to abuse. Employers could flood the system with large volumes of registrations for lower-wage positions, skewing the pool away from the program’s original intent. "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 Matthew Tragesser, spokesperson for US Citizenship and Immigration Services (USCIS), as reported by PTI. The new rule, he explained, "will better serve Congress' intent for the H-1B program and strengthen America's competitiveness by incentivising American employers to petition for higher-paid, higher-skilled foreign workers."

But what does this mean for applicants and employers? Under the revised framework, visa registrations will be weighted to increase the likelihood that applicants offered higher wages and roles requiring specialized skills are selected. Lower-paid roles remain eligible, but with a reduced probability. This, in effect, is expected to push US companies to raise wages or narrow job roles if they want to secure visas for foreign talent. For foreign professionals, especially those in highly paid or specialized positions, the changes could improve their odds. However, candidates for lower-paid jobs may find the competition even stiffer than before.

The reforms are part of a broader push by the Trump administration to tighten oversight of the H-1B program and curb both legal and illegal immigration. In addition to the weighted selection system, authorities have introduced an eye-popping $100,000 fee on new H-1B visa applications, a move that has drawn sharp attention from both employers and prospective applicants. According to Bhaskar English, the White House later clarified that the steep new fee applies only to new visas, not renewals, but the impact is already being felt. Indian technology companies—Infosys, TCS, Wipro, Cognizant, and HCL—sponsor the most H-1B visas, and rising costs could force both companies and workers to look elsewhere.

That’s not the only hurdle. As of December 15, 2025, the US State Department began requiring all H-1B and H-4 visa applicants to undergo enhanced screening, including checks of their online and social media profiles. The US Embassy in India stated that this step was taken "to prevent the misuse of H-1B visas and illegal immigration." The move applies to applicants worldwide, but its effects have been particularly acute in India, where 70–75% of H-1B visas are issued to Indian nationals. The increased scrutiny has led to widespread postponements of visa interviews, with many appointments rescheduled from March to May 2026, leaving thousands stranded abroad.

Major technology companies have already taken notice. According to the Foundation for India and Indian Diaspora Studies (FIIDS), "Tech leaders, including Google, Apple, and Microsoft, have issued advisories warning employees against international travel, citing unpredictable delays that could indefinitely halt contributions to critical projects." FIIDS, which supports enhanced security measures, has urged the Trump administration to "preserve existing scheduled appointments without blanket cancellations" and recommended capping any post-interview administrative processing at one month to alleviate hardships. The organization warned that prolonged disruptions could threaten ongoing work in high-impact fields such as AI, data platforms, and engineering, ultimately affecting US economic competitiveness and innovation leadership.

The Indian government, for its part, has been actively engaging with US authorities to ensure that Indian students and professionals are not unfairly disadvantaged. With Indian engineers, coders, and students forming the backbone of America’s tech industry, any disruption to the flow of talent has wide-ranging implications—not just for families and individuals, but for the broader US economy and its global standing in innovation.

President Trump’s stance on the H-1B visa has fluctuated over the years. In 2016, he called the program "against US interests," and in 2019, he suspended extensions of the visa. Yet, just last month, he appeared to soften his position, stating, "We need talent." Alongside the latest reforms, the Trump administration has introduced new visa cards, including the high-value "Trump Gold Card," which grants permanent residency rights in the US. The intent, officials say, is to attract the world’s best and brightest—though the rising costs and scrutiny may push some of that talent to Europe, Canada, Australia, or the Middle East.

For many Indian professionals, the new measures have created a sense of uncertainty. Some worry that the combination of higher fees, longer processing times, and unpredictable interview scheduling may force them to seek opportunities outside the US. Others hold out hope that the changes will ultimately bring greater transparency and fairness to a system that has long been criticized for its opacity and susceptibility to manipulation.

Still, the debate over the H-1B program is far from settled. As the Trump administration signals the possibility of further adjustments, all eyes will be on how these reforms play out in practice—and whether they can balance the competing goals of protecting American workers, maintaining US competitiveness, and honoring the nation’s tradition as a beacon for global talent.

For now, thousands of skilled workers and their families remain in limbo, waiting to see how the new rules will shape their futures and those of the industries that depend on them.