Important Updates
Important Updates
March 19, 2026 | United KingdomPersonnel Today: Can Staff Visit the USA If They Have a Criminal Record?
March 19, 2026 | United KingdomHR World: Compliance Now: Value Beyond Risk Management
March 19, 2026 | 🌐Middle East - The Latest News on Mobility and Travel Considerations
March 19, 2026 | PakistanPakistan: Suspension of Visas-on-Arrival and Visa Prior to Arrival Programs
March 19, 2026 | PolandPartner Karolina Schiffter Ranked in Chambers & Partners Poland Immigration Guide
March 19, 2026 | United KingdomPersonnel Today: Can Staff Visit the USA If They Have a Criminal Record?
March 19, 2026 | United KingdomHR World: Compliance Now: Value Beyond Risk Management
March 19, 2026 | 🌐Middle East - The Latest News on Mobility and Travel Considerations
March 19, 2026 | PakistanPakistan: Suspension of Visas-on-Arrival and Visa Prior to Arrival Programs
March 19, 2026 | PolandPartner Karolina Schiffter Ranked in Chambers & Partners Poland Immigration Guide
March 19, 2026 | United KingdomPersonnel Today: Can Staff Visit the USA If They Have a Criminal Record?
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Travel and Mobility Considerations: Situation in the Middle EastNavigating Immigration Under the Second Trump AdministrationImmigration Matters: Your U.S. Compliance RoadmapCenter for Strategy and Applied InsightsVietnamese ImmigrationView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Travel and Mobility Considerations: Situation in the Middle East
  • Navigating Immigration Under the Second Trump Administration
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Center for Strategy and Applied Insights
  • Vietnamese Immigration
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
  • Insights

United States: DHS Proposes Wage Level-Based Weighted System of H-1B Cap Allocation

September 23, 2025

insight-news-default

Country / Territory

  • United StatesUnited States

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

At a glance

  • A proposed regulation seeks to change the H-1B cap lottery process to give greater odds of selection to beneficiaries with the highest wages according to the Department of Labor’s four-level prevailing wage system.
  • Under the proposed system, beneficiaries registered for the H-1B cap would be entered into the selection pool in a weighted manner based on the wage offered by their prospective employer. A beneficiary offered a Level 4 wage (the highest level) would be entered into the selection pool four times; a Level 3 beneficiary, three times; a Level 2 beneficiary, two times; and a Level 1 beneficiary, once.
  • DHS will accept public feedback on the proposal for 30 days after the rule is formally published on September 24.
  • The proposed weighted selection system would not take effect until the regulation cleared the federal rulemaking process and was finalized, which typically takes several months. Court challenges to a final rule are possible.

The issue

The Department of Homeland Security (DHS) is seeking to alter the annual computerized H-1B cap lottery system to give an advantage in the selection process to those with the highest wage for their occupation and area of employment corresponding to the Department of Labor’s Occupational Employment and Wage Statistics (OEWS), according to a notice of proposed rulemaking that will be published in the Federal Register on September 24. The proposed rule comes days after President Trump signed a proclamation ordering a $100,000 fee to be imposed on certain H-1B petitions filed on or after September 21, 2025.

DHS will accept public feedback on the proposal for 30 days after publication. The proposal will not become final until the regulation clears the federal rulemaking process.

How a weighted selection system would work

As proposed, the revised method of H-1B quota allocation would be based on the Department of Labor’s OEWS Wage Levels. Beneficiaries registered for the H-1B cap lottery would be entered into the selection pool using a weighted system. Beneficiaries whose offered wage corresponded to Level 4 (the highest tier) of the Department of Labor’s four-level wage structure would be entered into the selection pool four times. A Level 3 beneficiary would be entered three times; a Level 2 beneficiary, two times; and a Level 1 beneficiary, once.

Employers would be required to indicate the appropriate occupational code, OEWS wage level, and area of employment in each candidate’s registration for the H-1B cap lottery. If a beneficiary were selected in the lottery, the employer’s USCIS Form I-129 H-1B petition would need to include documentation showing that the wage level indicated in the registration was appropriate for the occupation. USCIS could deny the petition (or revoke, if already approved) if it determined that the petitioner attempted to unfairly increase the odds of a beneficiary’s selection by selecting an inappropriate wage level or by changing the wage offered to a lower wage level in the petition than that indicated in the lottery registration for that beneficiary. The proposal does, however, recognize that there are legitimate reasons that an intended work location might change between the time of registration and the time of filing the petition, so USCIS may, in its discretion, find that a change in the intended work location (corresponding to a lower wage level) would be permissible, provided that it views the change as consistent with a bona fide job offer at the time of registration.

The offered wage and corresponding levels

The H-1B cap registration would capture the OEWS wage level associated with the wage being offered to the prospective H-1B employee. If the beneficiary were to work in multiple locations, the employer would be required to select the lowest corresponding OEWS wage level associated with the position. If more than one employer submits a registration on behalf of a foreign national, the foreign national would be entered into the H-1B cap lottery according to registration with the lowest prevailing wage level.

USCIS explicitly recognizes that some employers may choose to offer a higher wage to certain foreign nationals in order to be more competitive in the H-1B selection process. USCIS says that in this circumstance, an offered wage need not be directly related to skill level; the agency views a higher wage as a reflection of the beneficiary’s value to the employer, “which, even if not related to the position’s skill level per se, reflects the unique qualities the beneficiary possesses.”

Impact on the FY 2027 H-1B cap and beyond

If finalized as proposed, the regulation could limit employers’ access to some candidates, particularly those offered a wage corresponding to Level 1, the entry-level tier of the DOL wage system.

Today’s regulation is a proposal only, but it could be finalized in time to affect the FY 2027 H-1B cap season, which will begin in March 2026. If the rule is implemented, employers and their immigration counsel would need to undertake an evaluation of prospective H-1B candidates to determine the appropriate wage level for each, well before USCIS begins to accept registrations for the FY 2027 cap. 

What’s next for the proposed regulation

DHS will accept public feedback on the regulation for 30 days after the proposal is published in the Federal Register. Once the comment period closes, DHS must meaningfully consider the feedback; though there is no deadline for this review, the agency usually considers feedback for at least a period equal or similar to the public comment period. Once the review is complete, the regulation would be finalized and published in the Federal Register with an effective date that is typically 30 to 60 days after publication. If the rule is finalized, legal challenges are possible.

Feedback from the business community will be crucial to inform the government about the impact of the rule on U.S. competitiveness in the marketplace for talent. If your organization is interested in submitting a comment, please contact your Fragomen professional or the firm’s Government Strategies and Compliance Group.

This alert is for informational purposes only. If you have any questions, please contact the immigration professional with whom you work at Fragomen.

Country / Territory

  • United StatesUnited States

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related content

  • Navigating Immigration Under the Second Trump Administration

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Media mentions

HR World: Compliance Now: Value Beyond Risk Management

Partner Charlotte Wills explains that treating compliance as a strategic function helps organisations anticipate risk, manage costs and strengthen workforce planning.

Learn more

Awards

Partner Karolina Schiffter Ranked in Chambers & Partners Poland Immigration Guide

Partner Karolina Schiffter is ranked Band 1 in Immigration in the inaugural Chambers & Partners Poland guide, recognizing her leadership in advancing Fragomen’s Poland practice.

Learn more

Media mentions

Personnel Today: Can Staff Visit the USA If They Have a Criminal Record?

Manager Karnig Dukmajian

Learn more

Media mentions

The Sunday Times: Make Your Move from the UK to France

Senior Manager Géraldine Renaudière discusses planning for French residence and citizenship applications, including fees, translations and language or civic tests.

Learn more

Video

Traveling to the US for the 2026 FIFA World Cup: Visa, ESTA and Entry Rules Explained | #MobilityMinute

Senior US Consular Manager Brian Simmons outlines key visa, ESTA and entry considerations for travelers planning to visit the US for the 2026 FIFA World Cup.

Learn more

Media mentions

CareMarkets: Cost of Non-Compliance

Manager Simon Magava and Immigration Consultant Inderjit Kaur examine sponsor licence revocations in the UK social care sector and their impact on workforce stability.

Learn more

Blog post

Demographics, AI and Global Mobility in 2026: A Global Outlook on Workforce Strategy and Immigration Policy

Director Raj Mann explores how demographic change, artificial intelligence and global trade shifts are reshaping labour markets, workforce strategy and immigration policy in 2026.

Learn more

Blog post

Costa Rica Retirement Visa: Application and Requirements for Pensionado Residency

Immigration Supervisor Michael Salas Guzman explains the key eligibility requirements, documentation considerations and benefits of Costa Rica’s Pensionado residency program for retirees receiving lifetime pension income from abroad.

Learn more

Media mentions

Leading Britain's Conversation: One Old Arrest Can Stop You Entering the USA, Even If You Were Never Convicted

Senior Manager William Diaz outlines how US authorities evaluate prior criminal records under ESTA and what UK travellers need to know when completing their applications.

Learn more

Awards

Canada Managing Partner Cosmina Morariu Receives FCCCO Women in Leadership Award

Canada Managing Partner Cosmina Morariu has received the France Canada Chamber of Commerce in Ontario (FCCCO) Women in Leadership Award, recognizing her leadership and contributions to the business and legal communities.

Learn more
Generic Insights

Media mentions

Diário Do Turismo: Brasil passa a emitir visto eletrônico para chineses e amplia mobilidade de negócios

Managing Director Diogo Kloper highlights how Brazil’s new electronic visa for Chinese citizens reduces bureaucracy, lowers costs and streamlines business and tourism travel.

Learn more

Blog post

Why Climate Disruptions Are Reshaping Mobility Strategy

Partner, Global Responsible Business Practices, Lisa Koenig, Lead Analyst Dominic Dietrich, Senior Associate Sarah Blackmore and Senior Associate Sonya Berenfeld Cole examine why climate disruptions are reshaping mobility strategy as economic loss, workforce displacement and travel risks require organizations to reassess workforce planning and operational resilience.

Learn more

Media mentions

HR World: Compliance Now: Value Beyond Risk Management

Partner Charlotte Wills explains that treating compliance as a strategic function helps organisations anticipate risk, manage costs and strengthen workforce planning.

Learn more

Awards

Partner Karolina Schiffter Ranked in Chambers & Partners Poland Immigration Guide

Partner Karolina Schiffter is ranked Band 1 in Immigration in the inaugural Chambers & Partners Poland guide, recognizing her leadership in advancing Fragomen’s Poland practice.

Learn more

Media mentions

Personnel Today: Can Staff Visit the USA If They Have a Criminal Record?

Manager Karnig Dukmajian

Learn more

Media mentions

The Sunday Times: Make Your Move from the UK to France

Senior Manager Géraldine Renaudière discusses planning for French residence and citizenship applications, including fees, translations and language or civic tests.

Learn more

Video

Traveling to the US for the 2026 FIFA World Cup: Visa, ESTA and Entry Rules Explained | #MobilityMinute

Senior US Consular Manager Brian Simmons outlines key visa, ESTA and entry considerations for travelers planning to visit the US for the 2026 FIFA World Cup.

Learn more

Media mentions

CareMarkets: Cost of Non-Compliance

Manager Simon Magava and Immigration Consultant Inderjit Kaur examine sponsor licence revocations in the UK social care sector and their impact on workforce stability.

Learn more

Blog post

Demographics, AI and Global Mobility in 2026: A Global Outlook on Workforce Strategy and Immigration Policy

Director Raj Mann explores how demographic change, artificial intelligence and global trade shifts are reshaping labour markets, workforce strategy and immigration policy in 2026.

Learn more

Blog post

Costa Rica Retirement Visa: Application and Requirements for Pensionado Residency

Immigration Supervisor Michael Salas Guzman explains the key eligibility requirements, documentation considerations and benefits of Costa Rica’s Pensionado residency program for retirees receiving lifetime pension income from abroad.

Learn more

Media mentions

Leading Britain's Conversation: One Old Arrest Can Stop You Entering the USA, Even If You Were Never Convicted

Senior Manager William Diaz outlines how US authorities evaluate prior criminal records under ESTA and what UK travellers need to know when completing their applications.

Learn more

Awards

Canada Managing Partner Cosmina Morariu Receives FCCCO Women in Leadership Award

Canada Managing Partner Cosmina Morariu has received the France Canada Chamber of Commerce in Ontario (FCCCO) Women in Leadership Award, recognizing her leadership and contributions to the business and legal communities.

Learn more
Generic Insights

Media mentions

Diário Do Turismo: Brasil passa a emitir visto eletrônico para chineses e amplia mobilidade de negócios

Managing Director Diogo Kloper highlights how Brazil’s new electronic visa for Chinese citizens reduces bureaucracy, lowers costs and streamlines business and tourism travel.

Learn more

Blog post

Why Climate Disruptions Are Reshaping Mobility Strategy

Partner, Global Responsible Business Practices, Lisa Koenig, Lead Analyst Dominic Dietrich, Senior Associate Sarah Blackmore and Senior Associate Sonya Berenfeld Cole examine why climate disruptions are reshaping mobility strategy as economic loss, workforce displacement and travel risks require organizations to reassess workforce planning and operational resilience.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2026 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.