US overhauls H-1B visa system, favouring higher-paid, higher-skilled workers

Dubai: The US will overhaul its H-1B work visa selection system, replacing the long-standing random lottery with a process that gives priority to higher-paid and higher-skilled applicants, the Department of Homeland Security said.

The rule change, set to take effect on February 27, 2026, will apply to the 2027 H-1B cap registration season and is intended to strengthen protections for US-based workers while preserving access to foreign talent for US employers.

The H-1B programme allows companies to hire foreign professionals in specialised fields such as technology, engineering and healthcare. Annual issuances are capped at 65,000 visas, with an additional 20,000 reserved for holders of US advanced degrees, leading to demand that far exceeds supply.

Under the revised framework, visa registrations will be weighted rather than selected at random, increasing the likelihood that applicants offered higher wages and roles requiring specialised skills are selected. Lower-paid roles will remain eligible, though with reduced probability.

US immigration officials said the lottery system had been vulnerable to manipulation, allowing some employers to submit large volumes of registrations for lower-wage positions. Matthew Tragesser, a spokesman for U.S. Citizenship and Immigration Services, said the changes were designed to better align the programme with congressional intent and support US competitiveness.

The new approach is expected to alter hiring strategies for US companies that rely on foreign talent, potentially pushing employers to raise wages or narrow roles to secure visas. For foreign professionals, particularly those in highly paid or specialised positions, the changes could improve selection odds, while candidates for lower-paid jobs may face stiffer competition.

The rule forms part of a broader push by the Trump administration to tighten oversight of the H-1B programme. Other measures include a requirement that certain employers pay an additional $100,000 per visa as a condition of eligibility.

US officials said further adjustments to the programme could follow as authorities continue to review its impact on wages, employment, and business needs.