Why the New H-1B Lottery Proposal Could Complicate Hiring — and Why Legal Guidance Matters

Why the New H-1B Lottery Proposal Could Complicate Hiring — and Why Legal Guidance Matters

A new Department of Homeland Security (DHS) proposal under the Trump administration would change how H-1B visas are awarded. The goal is to prioritize “the most-skilled and highest-earning” foreign workers. However, many business and policy experts warn that the plan could have the opposite effect, making it harder for employers to hire the talent they need.

Right now, H-1B visas are distributed through a random lottery. The new proposal would replace that with a system that favors applicants in higher wage levels. There are four wage levels, and the higher the level, the better a candidate’s chance of selection. At first, this might sound like a good way to reward top talent, but the wage levels are based on how a salary compares to others in the same occupation and location, not how much the person actually earns.

This approach could create some odd results. For example, a landscape architect earning $36,000 could rank higher than a surgeon earning $300,000 if the architect’s salary is in a higher wage bracket for that location. Critics say this could give older or mid-career workers an advantage over recent graduates in science, technology, and engineering. The Institute for Progress estimates that new graduates could receive 7 percent fewer H-1B jobs, while overall wages would rise only about 3 percent. In short, the rule may not truly reward the most skilled or valuable workers.

For employers, this change would add even more complexity to an already difficult process. The H-1B program is capped at 85,000 visas per year, including 20,000 for workers with master’s degrees. Employers must already navigate strict eligibility rules, wage requirements, and shifting interpretations of what qualifies as a “specialty occupation.” A wage-based lottery would bring new challenges in how positions are classified, how salaries are documented, and how petitions are filed.

The Business Risk

The proposed rule could also distort the job market. Companies that rely on early-career professionals, especially in technology or research, might lose access to the global talent they depend on. Meanwhile, a proposed $100,000 entry fee for foreign-based workers could make participation impossible for smaller employers, leaving only the biggest corporations able to hire through the H-1B program.

Why Legal Guidance Matters

For human resources teams and business leaders, these changes highlight the value of having a knowledgeable business immigration attorney. Legal guidance can help companies:

  • Review job descriptions and wage classifications before submitting applications

  • Structure compensation to stay compliant and competitive

  • Understand how new rules may affect future hiring

  • Reduce the risk of errors, denials, or audits

With so many moving parts, expert legal support can make the difference between a smooth hiring process and a costly setback. As immigration rules continue to evolve, having the right legal partner ensures that your business stays compliant and positioned to attract top global talent.

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