US moves closer to wage-based rule for H-1B workers as final review begins

The US government has moved closer to changing how H-1B visas are allocated each year, with the Department of Homeland Security’s final rule on a weighted lottery system now under review by the Office of Management and Budget.

The review by OMB marks the final stage of the federal rulemaking process. According to a Fragomen report, the review is expected to move quickly, and an advance copy of the final regulation could be released in the coming days.

Weighted lottery based on wage levels

The proposed rule would change the current random H-1B cap lottery by introducing a weighted selection system. Under this approach, registrations would receive different odds of selection based on wage levels set under the Department of Labor’s four-tier prevailing wage framework.


This means H-1B beneficiaries offered higher wages would have a better chance of being selected in the annual cap lottery than those at lower wage levels, Fragomen said. The change is aimed at prioritising higher-paid and more specialised roles within the capped H-1B programme.

Final step before implementation

According to Fragomen, OMB review is the last procedural step before the rule can be finalised and published. Once cleared, the regulation could reshape how employers plan H-1B filings for future cap seasons.

The update said no further public comment period is expected at this stage. Employers and foreign workers are now awaiting clarity on the timing and scope of implementation once the final rule is released.