The United States has announced a major overhaul of its H-1B work visa programme, ending the long-standing lottery system and replacing it with a new weighted selection process that prioritises higher-paid and more skilled foreign workers. The move, notified by the Donald Trump administration, is expected to significantly impact thousands of aspiring professionals, particularly from India.
According to the US Department of Homeland Security, the new rule will come into effect on February 27, 2026, and will apply to the fiscal year 2027 H-1B cap registration season. Around 85,000 H-1B visas are issued annually, including 65,000 under the general cap and an additional 20,000 reserved for applicants with a master’s degree or higher from US institutions.
Under the revised system, visa applications will no longer be chosen randomly. Instead, they will be ranked, with higher preference given to applicants offered higher wages, reflecting their skill level and seniority. US Citizenship and Immigration Services (USCIS) said the existing lottery system had been “exploited and abused” by some employers to hire foreign workers at lower wages than American employees.
The change is part of a broader push by the Trump administration to reshape legal immigration. Earlier, the administration introduced a controversial $100,000 annual fee per H-1B visa, which is currently facing legal challenges, and unveiled a $1 million “gold card” visa offering a fast-track pathway to citizenship for wealthy individuals.
For Indian professionals, who make up one of the largest groups of H-1B visa holders, the new rules could make entry into the US job market more difficult, especially for fresh graduates and entry-level workers. The H-1B visa has traditionally been a key route for Indian engineers, IT professionals, doctors, and researchers seeking employment in the US.
Supporters of the programme argue that H-1B visas help fill critical skill gaps and drive innovation in sectors like technology and healthcare. Critics, however, claim the system has often been misused for lower-level jobs. The new pay-based selection aims to address these concerns, but it also raises questions about reduced opportunities for young global talent.
