US Govt Proposes To Scrap H-1B Lottery System, New Process To Favour Higher-Skilled, Better-Paid Workers

Washington DC: The Trump administration has proposed amending the regulations of the H-1B visa programme on Tuesday, just days after President Donald Trump signed a proclamation to curtail it, according to news agency Reuters.

The new proposal aims to revise the H-1B visa selection process to favour higher-skilled and better-paid workers, according to a related notice published in the Federal Register.

Issued by the Department of Homeland Security, the proposal seeks to scrap the current lottery system and implement "a weighted selection process that would generally favour the allocation of H-1B visas to higher-skilled and higher-paid aliens, while maintaining the opportunity for employers to secure H-1B workers at all wage levels".

If enacted, the new system would prioritise applications from employers offering higher wages, in cases where annual H-1B requests exceed the statutory cap of 85,000, the notice said.

The aim, according to the notice, is to better protect American workers from unfair wage competition posed by foreign labour.

It further stated that total wages paid to H-1B workers are expected to rise to $502 million in fiscal year 2026, beginning on 1 October, citing estimates by the US Department of Homeland Security.

The notice also suggested that the new rules could be implemented in time for the 2026 lottery, meaning before the March registration period.

Last week, President Trump signed a proclamation restricting the entry of H-1B visa holders and increasing the application fee to $100,000. The move forms part of the administration's broader crackdown on immigration.