Is the Trump Administration Really Scrapping the H-1B Lottery System?

Synopsis
Key Takeaways
- Proposed changes to the H-1B program aim to favor higher-skilled workers.
- New $100,000 fee applies only to new applications.
- Current visa holders are not affected by the new regulations.
- Public comment period for the proposal is set for 30 days.
- Ongoing US-India trade discussions are critical amidst these changes.
Washington, Sep 23 (NationPress) Following the proclamation by US President Donald Trump to drastically limit the H-1B visa program, the US Department of Homeland Security (DHS) has put forward a proposal to revise its regulations. This plan aims to eliminate the current lottery system and introduce a weighted selection process that primarily favors the allocation of H-1B visas to individuals with higher skills and salaries, while still allowing employers the chance to hire H-1B workers across all wage levels.
The proposal will be available for public commentary for a period of 30 days.
The H-1B program, which is limited to 85,000 new visas each year, has enabled US companies to recruit skilled foreign labor in sectors such as technology and engineering through a random lottery.
Just last week, Trump enacted a proclamation to impose stricter measures on H-1B visas, introducing a hefty $100,000 fee for each new application.
This proclamation led to significant confusion over the weekend, implying that it might affect current H-1B visa holders who could face challenges returning to the US.
The White House clarified on Saturday to IANS that this is a “one-time fee” applicable solely to new visas and does not affect renewals or existing visa holders.
“This is a one-time fee that applies only to the petition. It ONLY applies to new visas, not renewals or current visa holders. It will first apply in the upcoming lottery cycle,” a White House official stated.
A spokesperson from the White House also explained to IANS that the new policy would aim to “discourage companies from spamming the system.”
“President Trump has committed to prioritizing American workers, and this practical measure does just that by discouraging corporate misuse of the system and preventing wage suppression. It also provides clarity to American businesses that genuinely wish to bring in high-skilled laborers, who have often been disadvantaged by system abuses,” said White House spokeswoman Taylor Rogers.
During the proclamation signing at the White House on Friday, Trump emphasized that the “incentive is to employ American workers.”
This new proposal coincided with meetings between two senior Ministers—External Affairs Minister S Jaishankar and Commerce and Industry Minister Piyush Goyal—and Trump administration officials in New York on Monday.
After his discussions with Jaishankar, US Secretary of State Marco Rubio remarked that India holds “critical” importance for the US and welcomed ongoing trade discussions.
Jaishankar shared on X: “Our conversation encompassed a variety of bilateral and international issues of current significance. We agreed on the necessity of sustained engagement to advance priority areas.”
Commerce and Industry Minister Goyal also met with US Trade Representative Jamieson Greer on Monday to negotiate the initial phase of a trade agreement between the two nations.
Sources informed IANS that the meeting concentrated on resolving key challenges, with both parties remaining optimistic about reaching an interim agreement soon.