The Donald Trump administration is exploring changes to the H-1B visa selection process, specifically for applications subject to the annual cap.
The Department of Homeland Security (DHS) has submitted a proposal to the White House Office of Information and Regulatory Affairs for review.
Currently, the H-1B cap is set at 85,000 visas per year, including 20,000 slots reserved for U.S. master’s degree holders. Universities and research institutions remain exempt from this cap.
For FY 2026, USCIS has already announced the closure of the application window, stating that the number of petitions received has reached the cap. This means there will be no lottery for 2026.
The current system uses a random lottery to allocate visas under the cap. Employers with selected entries then submit full petitions for workers, who typically begin employment in October.
During Trump’s first term, the DHS proposed replacing the lottery with a wage-based selection system, prioritizing higher-paid roles to encourage hiring of more high-skilled workers. This was part of the "Buy American, Hire American" initiative.
However, the Biden administration rescinded the rule in 2021, following over 1,000 public comments, many warning it would significantly cut the number of available H-1Bs, according to Bloomberg.
While the lottery system aims to ensure fairness, larger companies often secure more visas simply by submitting a higher number of applications.
In January, the Institute for Progress, a nonpartisan think tank, proposed eliminating the lottery altogether. It argued that evaluating applicants based on salary or seniority could boost the visa program’s economic impact by up to 88%.
