Trump Ends H‑1B Lottery as U.S. Shifts to Skill‑Based Visa Selection

The Trump administration has ended the long‑running H‑1B visa lottery. The change was announced in Washington on Tuesday. It will replace the random draw with a system that favors higher‑skilled and higher‑paid workers. The new rule will take effect on February 27, 2026. It will shape the next H‑1B cap season for companies across the United States.According to Reuters and Associated Press, officials say the move aims to protect U.S. wages and jobs. The tech sector, which relies heavily on foreign talent, may feel the impact first. Many Indian professionals could be hit hardest due to high participation in the program.

New H‑1B Visa Process Will Prioritize High‑Skill and High‑Wage Jobs

The new H‑1B visa process marks a major shift in U.S. immigration policy. The Trump administration says the old lottery let employers hire cheaper foreign labor. Officials argue the weighted selection method will favor workers with stronger skills and higher wages. They say this protects American workers and raises job standards.A statement from U.S. Citizenship and Immigration Services says the change is needed. It states that many companies abused the random system. It claims some firms used it to bring in lower‑wage workers. The new rule adds a structured selection scale that ranks applicants on skill and wage levels. The highest tier will receive priority in the visa draw.The administration has also pushed other changes. It introduced a $100,000 annual fee for each new H‑1B application. A federal judge upheld that fee on Tuesday. A new $1 million “gold card” path to citizenship for wealthy applicants has also been launched. According to AP, large tech firms such as Amazon, Microsoft, Apple, and Google have been among the biggest users of H‑1B visas in recent years. Amazon alone received more than 10,000 approvals in the latest cycle.

How the End of the H‑1B Lottery Affects Workers and Employers

The end of the H‑1B lottery will reshape hiring in the U.S. tech sector. Companies that rely on entry‑level foreign talent may struggle to compete under the new ranking system. Higher‑salary employers could gain an advantage. This includes major firms with strong budgets and large recruiting networks.For workers, the shift may raise the bar for eligibility. Higher wages will play a key role. Advanced degrees and specialized skills will matter more than before. Many applicants from India, long the largest group of H‑1B recipients, could face added pressure to meet new thresholds.The long‑term effect may be a smaller but more specialized H‑1B workforce. Some experts expect companies to move more work offshore if they cannot secure talent in the U.S. Others say the rule may bring stability and reduce repeated lottery attempts.

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The new H‑1B visa rules mark one of the biggest policy shifts in years. Many applicants and employers will now prepare for a system built around skills and wages. The end of the H‑1B lottery signals a sharp change in how the United States selects global talent.

Thought you’d like to know-

Q1: What is changing in the H‑1B visa process?

The random lottery will end. A weighted system based on skill and wage levels will replace it. Higher‑paid and higher‑skilled workers will be selected first.

Q2: When will the new H‑1B rules start?

The new system begins on February 27, 2026. It will apply to the next H‑1B registration cycle.

Q3: Why did the U.S. end the H‑1B lottery?

Officials say the lottery was abused by some employers. They argue the new system protects American wages and jobs.

Q4: Who will benefit from the change?

Workers with higher salaries and advanced skills may have a better chance. Large tech firms may also benefit due to higher pay scales.

Q5: Will the new fees remain?

Yes. A federal judge upheld the $100,000 annual H‑1B fee for new applications. It will apply along with the new rule.

Trusted Sources: Reuters, Associated Press