ORF Warns H-1B Curbs Could Damage U.S. Economic Growth

USCIS completed the FY 2026 H-1B cap process using the beneficiary-centric model, meaning one registration per person counted for selection purposes. The policy backdrop shifted again on September 19, 2025, when President Trump announced a new $100,000 one-time H-1B processing fee for certain petitions, with a federal court decision on December 23, 2025 leaving that fee intact.

That combination—tighter integrity rules, higher costs, and elevated scrutiny—has pushed many employers to revisit hiring plans. It has also forced selected beneficiaries to plan carefully for filing, travel, and start-date compliance.

📅 Key Date: FY 2026 cap employment start date was October 1, 2025. Cap filings are typically submitted from April 1 through June 30.

FY 2026 H-1B cap timeline (typical USCIS schedule)

Even after selection, the case is not “approved.” Selection only gives the employer the right to file an H-1B cap petition during the filing window.

What changed in 2025: “One registration per beneficiary” is now the rule

USCIS moved to a beneficiary-centric selection process in 2025. Each person should only have one shot in the lottery, even if multiple employers register.

This change affected stakeholders differently:

• For employees: it reduced the multiple entries advantage.
• For compliant employers: it reduced pressure to match aggressive registrants.
• For USCIS: it supported fraud detection and duplicate filtering.

⚠️ Employer Alert: Multiple employers can still register the same person. Each registration must be for a real job offer. Collusion risks denials and referrals.

FY 2026 lottery numbers: what we can and cannot confirm today

As of Friday, December 26, 2025, USCIS has not released a single, definitive FY 2026 cap “final” statistic set in this prompt’s record. Many employers tracked selection waves in spring 2025. However, the actionable compliance point remains the same.

Selection does not change the employer’s burden. The petition must still prove:

• A specialty occupation,
• A valid employer-employee relationship, and
• A compliant Labor Condition Application (LCA).

Comparison to the prior year: why selection “felt” different

Many stakeholders compared FY 2026 to FY 2025 because FY 2025 was the last cycle widely associated with heavy duplicate registrations. The 2025 shift aimed to reduce that distortion.

Behavioral changes under the new rule included:

• Employers spent more time on role specificity before registering.
• Employees relied less on “backup registrants” to raise odds.
• USCIS increased scrutiny on Level I wage cases and broad job descriptions.

The new cost pressure: H-1B visa curbs and the $100,000 fee

The most dramatic 2025 development was the announcement of a $100,000 one-time H-1B processing fee, attributed to President Trump on September 19, 2025. A U.S. district court decision on December 23, 2025 left the fee standing after litigation.

Supporters describe the measure as a deterrent against low-wage hiring and misuse. Critics argue it functions as a near-ban for many legitimate employers.

From a compliance standpoint, employers should assume two realities:

1. USCIS will expect tight specialty occupation evidence.
2. Government cost will become a major part of budgeting, alongside wages.

Standard H-1B fee structure (baseline)

If the $100,000 H-1B processing fee applies, it sits on top of these baseline items. Employers should also plan for attorney fees and posting obligations.

After selection: what happens next

For selected beneficiaries

Once selected, the employer files the Form I-129 H-1B petition with the certified LCA and supporting evidence.

The strongest filings share three traits:

• A job description mapped to a specific SOC code.
• Degree alignment with the role’s specialty requirements.
• Wage set at the higher of prevailing wage or actual wage.

Prevailing wage levels matter more than ever. Level I roles face additional skepticism. The Department of Labor (DOL) defines Level I as entry level with close supervision.

💼 Employee Tip: Ask for the SOC code and wage level before filing. Confirm the offered salary meets or exceeds the prevailing wage in your work location.

For not selected beneficiaries

Non-selection means the employer cannot file a cap-subject H-1B for FY 2026. The employee should focus on maintaining status and planning alternatives.

Important actions for non-selected employees:

• If in F-1 OPT or STEM OPT, confirm work authorization dates.
• Coordinate travel plans carefully to avoid breaking work authorization timing.
• Consider cap-exempt or other visa strategies (see “Alternatives” section).

Travel and visa stamping: avoid common FY 2026 mistakes

Cap-subject H-1B approval does not automatically grant entry. You need the right status and documentation.

Common risk points:

• Traveling while a change of status is pending can trigger consular processing.
• Visa stamping can require additional security checks and delays.
• Port-of-entry officers can request the LCA, offer letter, and recent pay evidence.

Employees should carry:

• The approval notice,
• An employment verification letter, and
• Recent paystubs after starting H-1B employment.

Avoid international travel during pending change-of-status petitions to minimize risk.

Alternatives if you missed the FY 2026 cap

Several options remain viable, depending on the person’s profile and the employer’s structure.

Employers should also examine cap-exempt strategies, like legitimate placements at qualifying institutions. The relationship and worksite control must be real.

Next year’s projected timeline: FY 2027 planning

Most employers should plan for the FY 2027 cycle on the usual cadence. Registration still typically occurs in March.

⏰ Deadline: Begin role scoping and prevailing wage review in January 2026. March registration arrives quickly, and job details must be consistent.

Practical compliance steps, starting now

Employers should complete three items before the next registration window:

1. Finalize a defensible SOC code and worksite location.
2. Set salary at or above the prevailing wage level.
3. Prepare specialty-occupation evidence, especially for Level I roles.

Employees should:

• Request the SOC code, wage level, and worksite address in writing.
• Track passport validity and plan visa stamping timing.
• Avoid international travel during pending change-of-status petitions.

📋 Official Resources:
– H-1B Program: H-1B Program
– Cap Season: Cap Season
– Prevailing Wages: Prevailing Wages