Washington: The United States has announced a major overhaul of its H-1B visa programme, ending the long-standing lottery system and replacing it with a selection process that prioritises higher-paid and more highly skilled foreign workers. The move marks one of the most significant changes to the employment-based immigration framework in recent years.

Under the new rules, H-1B visas will no longer be allotted through a random lottery when applications exceed the annual cap. Instead, petitions offering higher wages and requiring advanced skills will receive preference. The policy is aimed at ensuring that the visa programme attracts top global talent while protecting the interests of American workers.
According to the US Department of Homeland Security (DHS), the lottery system had increasingly been misused by some employers to bring in lower-paid foreign workers, which, officials argue, undercut wages and job opportunities for US citizens. By linking visa selection to salary levels and skill requirements, the government says it wants to restore the original intent of the H-1B programme.
The revised system is scheduled to take effect from February 27, 2026, and will apply to the next H-1B registration cycle for Fiscal Year 2027. Employers filing petitions will need to clearly demonstrate that the role requires specialised expertise and offers competitive compensation.
The changes are expected to have a significant impact on countries such as India, which is the largest source of H-1B visa holders, particularly in the technology and IT services sectors. While highly skilled professionals with strong salary packages may benefit, entry-level or lower-paid applicants could find it harder to secure visas.
Industry reactions have been mixed. Supporters say the reform will improve the quality of talent entering the US workforce and discourage exploitation of the system. Critics, however, warn that it could reduce workforce flexibility for companies and limit opportunities for young professionals.
Overall, the end of the H-1B lottery signals a clear shift in US immigration policy — from chance-based selection to a model driven by pay, skills, and economic value.