Employers relying on the H-1B program woke up on January 9 2026 to find the rules of the game fundamentally rewritten. Buried in a 224-page Federal Register notice, the Department of Homeland Security published its long-awaited final rule creating a weighted selection system for cap-subject H-1B registrations. Beginning with the FY 2027 filing season (registration opens March 2026), each electronic registration will receive between one and four “entries” in the selection pool based on the Occupational Employment and Wage Statistics (OEWS) wage level offered for the position: one entry for Level I wages, up to four for Level IV. ([forumtogether.org](https://forumtogether.org/article/legislative-bulletin-friday-january-9-2026/?utm_source=openai))
USCIS says the new framework will “better protect U.S. workers” by favoring higher-paid, higher-skilled roles, and by discouraging multiple “low-ball” registrations. The agency projects selection odds of roughly 61 percent for Level IV registrants, versus 15 percent for Level I—vastly different from the flat ~30 percent odds under the prior random lottery. Cap-exempt petitioners (universities, nonprofit and government research entities) remain unaffected.
Business groups are already assessing impact. Large tech and finance employers that routinely pay Level III/IV wages welcome the change, anticipating more predictable hiring. Start-ups, small consultancies and rural hospitals fear they will be crowded out unless they raise salaries significantly—sometimes beyond budget or local prevailing-wage realities. Immigration counsel warn that wage-inflation strategies could invite Department of Labor audits; positions must genuinely meet the higher wage-level criteria.
![DHS Final Rule Replaces Random H-1B Lottery with Wage-Weighted Selection, Effective FY 2027 Season]()
Litigation is almost certain. Several trade associations argue the Immigration and Nationality Act requires a “random selection” when demand exceeds supply. They also question DHS’s authority to grant multiple entries per registrant, likening it to “stuffing the ballot box.” Still, unless a court issues an injunction before February 27 (the rule’s effective date), employers must adapt quickly.
For employers or foreign professionals unsure how to navigate the new weighted lottery, VisaHQ offers hands-on support—from prevailing-wage reviews to full H-1B registration filing and backup visa planning. Explore service options and free resources at https://www.visahq.com/united-states/ to keep your talent pipeline moving despite the regulatory upheaval.
Practical next steps: HR teams should review spring-2026 head-count plans, model the cost of elevating wages to higher OEWS levels, and ensure job descriptions, SOC codes and wage data align precisely before the registration window. Petitioners must also budget for steeper filing fees that take effect April 1. For critical talent, consider cap-exempt partnerships (university affiliates) or alternative visa categories such as O-1, TN or E-2 where feasible.
Bottom line: the H-1B landscape has tilted decisively in favor of higher-paying employers. Those who prepare early—by auditing wages, tightening job requirements, and mastering the new registration form—will enjoy the clearest path to securing scarce visas.
USCIS says the new framework will “better protect U.S. workers” by favoring higher-paid, higher-skilled roles, and by discouraging multiple “low-ball” registrations. The agency projects selection odds of roughly 61 percent for Level IV registrants, versus 15 percent for Level I—vastly different from the flat ~30 percent odds under the prior random lottery. Cap-exempt petitioners (universities, nonprofit and government research entities) remain unaffected.
Business groups are already assessing impact. Large tech and finance employers that routinely pay Level III/IV wages welcome the change, anticipating more predictable hiring. Start-ups, small consultancies and rural hospitals fear they will be crowded out unless they raise salaries significantly—sometimes beyond budget or local prevailing-wage realities. Immigration counsel warn that wage-inflation strategies could invite Department of Labor audits; positions must genuinely meet the higher wage-level criteria.
Litigation is almost certain. Several trade associations argue the Immigration and Nationality Act requires a “random selection” when demand exceeds supply. They also question DHS’s authority to grant multiple entries per registrant, likening it to “stuffing the ballot box.” Still, unless a court issues an injunction before February 27 (the rule’s effective date), employers must adapt quickly.
For employers or foreign professionals unsure how to navigate the new weighted lottery, VisaHQ offers hands-on support—from prevailing-wage reviews to full H-1B registration filing and backup visa planning. Explore service options and free resources at https://www.visahq.com/united-states/ to keep your talent pipeline moving despite the regulatory upheaval.
Practical next steps: HR teams should review spring-2026 head-count plans, model the cost of elevating wages to higher OEWS levels, and ensure job descriptions, SOC codes and wage data align precisely before the registration window. Petitioners must also budget for steeper filing fees that take effect April 1. For critical talent, consider cap-exempt partnerships (university affiliates) or alternative visa categories such as O-1, TN or E-2 where feasible.
Bottom line: the H-1B landscape has tilted decisively in favor of higher-paying employers. Those who prepare early—by auditing wages, tightening job requirements, and mastering the new registration form—will enjoy the clearest path to securing scarce visas.
