On Sept. 24, 2025, the U.S. Department of Homeland Security announced a proposed rule amending its regulations governing the process by which the U.S. Citizenship and Immigration Services selects H-1B registrations. The proposed rule would implement a weighted selection process that would generally favor higher-skilled and paid foreign workers. This Legal Update explains further.
On Sept. 24, 2025, the U.S. Department of Homeland Security (DHS) announced a proposed rule amending its regulations governing the process by which the U.S. Citizenship and Immigration Services (USCIS) selects H-1B registrations. The proposed rule would implement a weighted selection process that would generally favor higher-skilled and paid foreign workers.
The proposed rule follows a recent presidential proclamation, signed on Sept. 19, 2025, announcing a new $100,000 entry fee for each new H-1B visa recipient starting Sept. 21, 2025. According to the Trump administration, the increased fee aims to curb abuses of the H-1B system that may disadvantage the U.S. workforce and lead to wage suppression. The proclamation does not change any required fees in connection with H-1B renewals. More information about the new fee can be found on the U.S. Department of State’s website.
Background
The current H-1B visa program allows U.S. employers to hire foreign workers in specialty occupations requiring highly specialized knowledge. Each year, the USCIS allocates 65,000 slots for regular H-1B registrations and 20,000 slots for individuals with a U.S. master’s degree or higher. Employers apply by submitting an electronic registration for each candidate they sponsor. The USCIS conducts a random lottery if the number of registrations exceeds the limited H-1B quota.
Key Highlights
The proposed regulation would replace the lottery system with a weighted system prioritizing higher-paying jobs while still awarding H-1B visas at different wage levels. The proposal identifies four wage bands based on the Occupational Employment and Wage Statistics wage levels, as follows:
• Level I-Candidates would be entered into the selection pool one time;
• Level II-Candidates would be entered into the selection pool two times;
• Level III-Candidates would be entered into the selection pool three times; and
• Level IV-Candidates would be entered into the selection pool four times.
Candidates would only be eligible to be selected one time, regardless of the number of entries, through a random, computer- generated selection process.
Employer Takeaway
Comments on the proposed rule are due by Oct. 24, 2025. However, it is likely that employers and business groups will challenge the proposal, along with the $100,000 H-1B fee. Employers should monitor the situation for updates on the proposed rule and any related legal challenges.
Provided by Team Nash
This Legal Update is not intended to be exhaustive nor should any discussion or opinions be construed as legal advice. Readers should contact legal counsel for legal advice. © 2025 Zywave, Inc. All rights reserved.
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