Tech Giants Use Wage-Weighted Lottery System as Seattle-Bellevue-Redmond Faces New Supplemental Fees

(WASHINGTON STATE) — USCIS said on March 31, 2026, that it completed the initial FY 2027 H-1B cap selection, ending this year’s March registration period for cap-subject employers and workers seeking an October 1, 2026 start date.

Washington remains the fourth-largest state for H-1B sponsorship, led by the Seattle-Bellevue-Redmond tech corridor. This year’s cycle also marks a major policy shift. Employers now face a wage-weighted lottery system, tighter wage-level review, and new supplemental fees for some cases.

USCIS said it received enough registrations for unique beneficiaries to meet the 65,000 regular cap and 20,000 advanced degree exemption. As of March 31, the agency had not yet posted a full public count for FY 2027 registrations or the exact selection rate.

📅 Key Date: USCIS completed the FY 2027 initial H-1B cap selection on March 31, 2026. Selected employers may now prepare full filings for the 90-day filing window listed in their accounts.

FY 2027 H-1B cap timeline

The FY 2027 process still uses the one-registration-per-beneficiary rule. That means selection is tied to the person, not the number of employers that registered them. Multiple registrations do not create multiple chances for the same worker unless the current wage-weighted structure assigns additional entries by wage level.

That rule remains a major compliance point. Employers should confirm each registration reflects a real job offer and correct beneficiary data before filing the petition.

What changed this year

Late 2025 and early 2026 brought the biggest H-1B cap changes in years.

On December 23, 2025, DHS and USCIS announced the shift to a wage-weighted lottery system. Under the policy described for this cycle, Level IV wages receive four entries, while Level I wages receive one entry.

That change took effect on February 27, 2026, just before the FY 2027 registration period.

The new system favors higher-paid roles, especially in software, AI, cloud, and advanced research positions. It also raises the stakes for wage classification. USCIS now has stated authority to deny or revoke a case if it believes the employer inflated the wage level at registration.

⚠️ Employer Alert: The wage level listed at registration must match the role, duties, experience, and worksite. A higher wage level used only to improve lottery odds can trigger denial or later revocation.

A second policy shift affects some overseas hires. A $100,000 supplemental fee now applies to certain H-1B petitions for workers outside the United States, under the September 19, 2025 proclamation cited for this cycle. Employers should screen early for whether that fee applies.

How this compares with last year

The immediate difference from last year is not just selection timing. It is how selection chances were assigned.

In the prior cap season, selection was generally discussed in terms of beneficiary-based entries and overall volume. USCIS reported about 442,000 registrations for the prior fiscal year, with an estimated selection rate near 27%. This year, selection odds are no longer driven only by total volume. They are also shaped by the wage level attached to the registration.

That shifts strategy for employers in Washington. Large filing numbers matter less if the case mix is weighted toward Level I or lower-paid roles. By contrast, Level III and Level IV roles may have three to four times better odds than entry-level cases.

Washington’s top H-1B sponsors in 2026

Washington employers still rank among the nation’s most active H-1B users, especially in tech.

High-paying outliers also remained active in the market. Nvidia averaged $230,604, and Netflix averaged $231,378 in the 2026 hiring mix described for Washington.

These salary levels matter because the new system rewards higher wage levels. Washington now ranks second nationwide for average H-1B salaries at $161,523.

That figure reflects the state’s concentration of senior technical roles in the Seattle-Bellevue-Redmond market.

Roles most helped by the new system

The clearest winners are senior specialty jobs with stronger wage levels and narrow degree requirements.

Top roles this cycle include:

• AI/Machine Learning Engineer
• Cloud Architect
• Cybersecurity Analyst
• Senior Software Developer

Healthcare employers also remain active. Seattle Children’s Hospital and Fred Hutchinson Cancer Center continue to sponsor physicians, researchers, and other specialized medical professionals.

For both employers and employees, wage level still must match the role. Under Department of Labor rules, the employer must pay the higher of the prevailing wage or actual wage for the occupation and area.

In Washington, that means checking the correct SOC code, worksite, and wage level. A role in downtown Seattle may support a different wage than the same role elsewhere. Employers can confirm benchmarks through flcdatacenter.com.

💼 Employee Tip: Ask for the job title, SOC code, wage level, worksite location, and offered salary before filing. Those details affect both lottery treatment and later petition review.

What happens next for selected and non-selected cases

If selected, the employer may file the full H-1B petition during the filing period shown in its USCIS account. That filing usually includes:

• Form I-129
• Certified Labor Condition Application
• Support letter
• Degree and credential evidence
• Proof the position qualifies as a specialty occupation
• Filing fees

Here is the standard fee framework for most cap-subject cases:

Some employers may also face the separate $100,000 supplemental fee for covered outside-the-U.S. cases.

If not selected, the registration remains in reserve only if USCIS later runs a second selection. If no later round occurs, the employer must wait for the next cap season or use another visa path.

Common alternatives include:

• Cap-exempt H-1B with certain universities or nonprofit research employers
• O-1 for workers with documented high achievement
• L-1 for intracompany transferees
• TN for eligible Canadian and Mexican professionals
• STEM OPT extension, if the worker is eligible and still in F-1 status

Washington employers should also note a state-law issue. House Bill 2105, signed on February 14, 2026, requires notice to employees about federal immigration inspections. HR teams should update site-visit and records procedures now.

⏰ Deadline: Selected FY 2027 H-1B cases should move to LCA preparation and petition assembly immediately. Delays in LCA certification can shorten the filing window.

Looking ahead to the next cap season

If USCIS keeps the same schedule, the FY 2028 registration period should open in March 2027, with selections announced by late March or early April. Employers that expect to sponsor should plan in January and February 2027, not after registration opens.

That is especially true for entry-level cases. Those petitions now face harder odds under the wage-weighted system, so job level, wages, and business need should be reviewed months in advance.

Employers should begin prevailing wage review and role classification now, especially for Seattle-area positions with high compensation ranges. Employees should verify whether their role supports a real specialty occupation, whether the offered pay matches the correct wage level, and whether any cap-exempt or alternate visa option is available if they were not selected. Watch USCIS account notices through the filing window, and track updates on the official USCIS H-1B cap season and H-1B specialty occupations pages.

📋 Official Resources: – H-1B Program: uscis.gov/h-1b-specialty-occupations – Cap Season: uscis.gov/h-1b-cap-season – Prevailing Wages: flcdatacenter.com