Navigating the FY 2027 H-1B Lottery: A New Era of Wage-Weighted Selection
Navigating the FY 2027 H-1B Lottery: A New Era of Wage-Weighted Selection
The H-1B visa program is undergoing its most significant structural change in decades. Starting with the Fiscal Year 2027 (FY 2027) cycle—with registrations beginning in early 2026—the traditional random lottery will be replaced by a system that prioritizes higher-paid positions.
The Shift to Wage-Weighted Selection
Instead of every entry having an equal chance, the new process weights registrations based on the Department of Labor’s OEWS wage levels:
Level IV (Highest): Entered 4 times in the lottery pool.
Level III: Entered 3 times in the lottery pool.
Level II: Entered 2 times in the lottery pool.
Level I (Entry-level): Entered 1 time in the lottery pool.
While this is still a lottery—not a guarantee of selection—it significantly improves the odds for high-wage roles while making the environment more competitive for entry-level positions.
Strategic Impact: The $100,000 Fee
A presidential proclamation has introduced a $100,000 fee for many H-1B petitions filed after September 21, 2025.
Target: This fee primarily affects new petitions for workers currently outside the U.S..
Exemptions: Importantly, it does not apply to change of status petitions for workers already in the U.S., such as F-1 students.
This creates a powerful financial incentive for employers to prioritize U.S. university graduates (F-1 students) over international hires to avoid the substantial fee.
What This Means for Your Organization
The transition requires a more proactive and data-driven approach to immigration strategy:
Accuracy from Day One: Wage levels and SOC codes provided at registration must precisely match the final petition.
Heightened Scrutiny: Discrepancies between registration data and the actual filing could lead to denials or fraud investigations.
Long-term Planning: Employers should review their wage strategies early to ensure alignment with OEWS classifications and lottery goals.
Final Conclusion
As the H-1B program moves toward a "high-wage, high-skill" priority model , the combination of wage-weighted selection and the $100,000 fee for overseas hires makes U.S.-based F-1 students more attractive than ever. Success in FY 2027 will depend on early coordination between HR teams and legal counsel to navigate these increased complexities.
Judy Chang Law Firm, National Immigration Law Firm
Copyright© Judy J. Chang, Esq. All rights reserved. 1/2/2026
The information contained in article is provided for general information only and should not serve as a substitute for legal advice.
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