New Weighted Selection Process for the FY 2027 H-1B cap season

The U.S. Department of Homeland Security (DHS) has issued a final rule changing how U.S. Citizenship and Immigration Services (USCIS) will select H-1B cap registrations when demand exceeds the annual cap. Under the new rule, USCIS will move away from a purely random lottery and instead use a weighted selection system. This system gives higher chances of selection to higher-skilled and higher-paid workers, while still allowing employers to register positions at all wage levels. These changes will take effect in time for the FY 2027 H-1B registration season. 

Until now, every properly filed H-1B registration had the same chance of being selected within its cap, regardless of wage level. Under the new rule, wage level will directly affect selection odds. Higher wages mean higher chances of selection. 

How the New Weighted Selection Works 

USCIS will still conduct a lottery, but  selection will be weighted based on the Occupational Employment and Wage Statistics (OEWS) wage level associated with the sponsored H-1B role’s SOC code and area(s) of intended employment. , Each occupation has four prevailing wage levels, reflecting experience, skill, and responsibility and each registration will receive a number of entries based on the wage level assigned to the job. Registrations are weighted as follows: 

• Highest wage level 4: 4 entries 

• Next level 3: 3 entries 

• Next level 2: 2 entries 

• Lowest wage level 1:1 entry 

This means higher-paid roles and positions classified at higher wage levels for their location and occupation will have more “tickets” in the lottery pool. 

How the Master’s Cap Will Work 

The master’s cap remains in place, meaning U.S. master’s degree holders are still eligible for the 20,000 visas reserved under the advanced degree exemption. Under the new rule, USCIS will run the master’s cap first using the new weighted selection system, which takes the wage level of the position into account. Registrations not selected in the master’s cap will then be included in the regular H-1B pool, where they have another chance of selection, again weighted by wages. This means that while the master’s cap still exists, higher wages improve the odds of selection even for master’s degree holders. 

What’s New in the H-1B Registration Process 

To implement this new system, USCIS is changing what information must be provided at the registration stage. Historically, registration required very limited details from the sponsoring employer and the prospective H-1B employee. Under the new rule, employers will need to provide additional job and wage information upfront, including: 

• Selecting the box for the highest prevailing wage level that the beneficiary’s wage generally equals or exceeds 

• Providing the Standard Occupational Classification (SOC) code for the proffered position 

• Indicating the area of intended employment 

Wage information will now be reviewed before selection, not only at the petition stage. 

Concerns Raised by the Public 

During the public comment period, DHS received feedback raising concerns that this approach could disadvantage: 

• Smaller employers 

• Entry-level roles 

• Recent graduates and international students 

Despite these concerns, DHS finalized the rule largely as proposed. 

When This Takes Effect 

The new weighted selection process becomes effective on February 27, 2026, and will apply to the FY 2027 H-1B cap registration season. 

What’s Next 

Historically, electronic H-1B cap registration required limited information and did not take geographic location, wage levels, or SOC codes into account. Now, employers will need to think strategically about job classification and compensation well before registration opens. Planning ahead, including wage analysis, will be critical under this new system. 

To start planning for the upcoming FY 2027 H-1B cap season with our experienced attorneys specializing in employment-based immigration, please contact our office at (312) 427-6163 or schedule a consultation online.