US to end H-1B visa lottery, shift to higher-paid, skilled workers

The US Department of Homeland Security has announced that it is replacing the traditional lottery system for H-1B work visas with a new process that prioritises highly skilled foreign workers with higher salaries.

“The existing random selection process of H-1B registrations was exploited and abused by US employers who were primarily seeking to import foreign workers at lower wages than they would pay American workers,” said Matthew Tragesser, spokesperson for US Citizenship and Immigration Services.

The move follows several measures by the Trump administration to reshape the visa program, which critics argue allows employers to hire overseas workers at lower pay. Earlier this year, President Donald Trump introduced a $100,000 annual H-1B visa fee for highly skilled workers and proposed a $1 million “gold card” visa offering a pathway to US citizenship for wealthy individuals, both of which are currently facing legal challenges.

H-1B visas have been given through a lottery system. In 2025, Amazon was the largest recipient with over 10,000 visas, followed by Tata Consultancy Services, Microsoft, Apple, and Google, with California hosting the largest concentration of H-1B workers.

Under the new rule, set to take effect on February 27, 2026, the selection process will be weighted to favor applicants with higher skills and wages.

A press release noted the change is “in line with other key changes the administration has made, such as the Presidential Proclamation that requires employers to pay an additional $100,000 per visa as a condition of eligibility.”

Supporters of the H-1B program say it is essential for hiring professionals in healthcare, education, and other specialized fields, helping to drive innovation and economic growth in the United States.