The Trump administration has moved to overhaul the H-1B visa program, proposing to eliminate the long-standing lottery system in favor of a wage-based selection model. The Department of Homeland Security announced that the new rules would prioritize higher-paid and higher-skilled workers, significantly altering how foreign talent enters the United States.
Under the proposal, applicants would be weighted based on the wage level assigned to them. Workers in the highest wage tier, earning around $162,528 annually, would receive four entries in the selection pool, while those in the lowest tier would only be entered once. This approach is designed to favor experienced, high-earning professionals, while reducing opportunities for entry-level workers.
Immigration experts suggest the rule could fundamentally reshape the tech industry. Nicole Gunara, Principal Immigration Attorney at Manifest Law, explained that senior engineers at large firms could enjoy multiple lottery entries, whereas junior developers at smaller companies might face much slimmer odds. The system, she argued, tilts the field toward established corporations able to pay premium salaries, potentially sidelining startups and early-career international talent.
The change follows President Trump’s recent proclamation that imposed a $100,000 fee on each new H-1B application. The White House defended the move, saying it protects American workers by discouraging misuse of the system while allowing businesses to secure top foreign talent. President Trump promised to put American workers first, and this common-sense action does just that, White House spokeswoman Taylor Rogers stated.
Indians, who account for 71 percent of all approved H-1B applications, will be disproportionately impacted. Industry leaders warn that Indian IT majors such as TCS, Infosys, and Wipro could face billions in added costs, prompting reduced U.S. hiring or shifting more roles back to India. The new rules also coincide with ongoing diplomatic engagements, as External Affairs Minister S. Jaishankar and Commerce Minister Piyush Goyal met U.S. officials in New York to discuss trade and visa issues.
The Trump administration has labeled the H-1B as one of the most abused visa systems and insists that the reforms will restore fairness. If implemented, the new wage-based framework will redefine America’s competition for global talent and reshape the future of skilled immigration.
