IMMIGRATION ALERT: USCIS Adopts Weighted H-1B Lottery Process

Recent Developments in U.S. Immigration Policy

The U.S. Department of Homeland Security finalized a rule replacing the random H-1B lottery with a weighted selection process effective for the upcoming FY 2027 H-1B season. The rule, published December 29, 2025, takes effect February 27, 2026. Under the new weighted, wage-based selection process, lottery registrants will receive multiple entries based on the wage level being offered to the H-1B candidate. The new rule prioritizes higher-paid, higher-skilled workers in the H-1B lottery while preserving some access for all wage levels.

Using the Department of Labor’s four‑tier Occupational Employment and Wage Statistics (OEWS) framework:

• Level IV wages will receive four lottery entries
• Level III wages will receive three entries
• Level II wages will receive two entries
• Level I wages will receive one entry

Registrants must include OEWS Wage detail, with H-1B registrations and employers that offer higher wages to H-1B candidates will significantly improve their odds of selection. Petitions filed after selection must also include identifying position information reflected in the registration, including OEWS wage level, SOC code, and area(s) of intended employment and USCIS may deny or revoke petitions where subsequent filings appear inconsistent with the registration details. While the rule does not mandate wage increases, it creates a strong incentive to raise salaries for H-1B candidates. USCIS intends for this change to reduce abuse of the lottery system and better protect U.S. workers’ wages and job opportunities.

Employer Action Items

Employers should review compensation for H-1B roles now in anticipation of the lottery beginning in March 2026 and consider whether salary adjustments are warranted.

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