US H-1B Visa Changes: Salary-Based Lottery & $100K Fee

The United States has unveiled plans to overhaul the H-1B visa program, introducing a salary-based lottery system just days after President Donald Trump announced a sharp hike in application fees to $100,000.

The Department of Homeland Security (DHS) proposed replacing the current random lottery with a weighted selection process. Under the new system, applicants in the highest wage tier—earning $162,528 or more annually—would receive four lottery entries, while those at the lowest wage tier would get only one. DHS says the change aims to prioritize “higher-skilled and higher-paid” foreign workers while still allowing employers to hire at all wage levels.

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Immigration experts say the move could reshape the flow of global talent to the US. Nicole Gunara, Principal Immigration Attorney at Manifest Law, explained that senior engineers at major tech firms could now have multiple chances in the lottery, while junior developers at startups might face steeper odds. She added that the policy could shift the US tech workforce toward more experienced, higher-paid professionals.

The fee hike, signed last week by President Trump, is part of a broader effort to “put American workers first,” according to White House spokeswoman Taylor Rogers. Trump said the $100,000 fee would discourage companies from abusing the system and encourage hiring of high-skilled foreign workers for senior roles.

Indians account for 71% of all approved H-1B visas, according to the US Citizenship and Immigration Services. Analysts warn that the new rules could impact major Indian IT firms like TCS, Infosys, and Wipro, potentially costing them billions and leading to reduced hiring or offshoring of jobs back to India.

The announcement coincides with a US visit by External Affairs Minister S. Jaishankar and Commerce and Industry Minister Piyush Goyal, who are meeting Trump administration officials in New York to discuss trade and bilateral cooperation.

The DHS has opened a public comment period on the proposed H-1B lottery changes. The new system will only take effect after the review and final approval process.