H-1B Lottery Modification Proposed by DHS

The Department of Homeland Security (DHS) announced a proposal to change the H-1B lottery, effective with the FY2027 selection. Higher wage level applicants get more chances of selection. The new system is noted with an active date of October 24, 2025.

The new system uses the Department of Labor (DOL)’s four-level prevailing wage system. Applicants’ wage level determines the number of available entries in into the visa. Each company can submit a certain number of petitions by category:

  • Level 4 (highest wages): 4 entries
  • Level 3: 3 entries
  • Level 2: 2 entries
  • Level 1 (entry-level): 1 entry

Employers must provide the occupational code, wage level, and location for each registration. If selected, the H-1B petition must match the registration details. U.S. Citizenship and Immigration Services (USCIS) can deny or revoke petitions if employers misstate wage levels or lower wages after registration. If a job location legitimately changes (leading to a lower wage), USCIS may allow it, if consistent with a bona fide offer.

Higher-paid positions and candidates will have significantly better odds. Entry-level (Level 1) roles could have challenges securing visas. Employers may raise wages strategically to improve selection opportunities. The program might reduce access to lower-wage foreign talent, especially in industries relying on junior roles. The proposed changes are open for public comment for thirty days.

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