H‑1B Visa Holders Arriving Jobless: Are US Firms Exploiting Workers?

Key Takeaways

• H-1B registrations for FY 2026 dropped 26.9% due to beneficiary-centric rules and higher fees.
• Stricter enforcement targets fraud; 60-day grace period critical for workers losing jobs in the USA.
• Indian nationals face highest risks; many arrive jobless despite visa approval amid ongoing scams.

The H‑1B Visa system continues to play a central role for skilled professionals hoping to work in the United States 🇺🇸, yet ongoing policy changes and new enforcement rules in 2025 have shaped a very different landscape for applicants. This detailed analysis provides a clear look at how recent reforms have affected the H‑1B process, the steps every applicant must take to stay on the right side of the rules, and the reality faced by many workers arriving in the United States 🇺🇸 without the promised job. With stricter policies targeting fraud, fewer chances in the lottery, and a strict 60-day grace period after job loss, it is vital to understand what has changed and why it matters.

Purpose and Scope

This article fully examines the current state of the H‑1B Visa system under USCIS (U.S. Citizenship and Immigration Services) policies as of June 2025. It highlights:

• Ongoing fraudulent practices and how they harm legitimate workers
• The impact of new rules and higher fees on H‑1B applicants
• Fresh statistical trends for the 2025–2026 cycle
• The importance of the 60-day grace period for workers who lose their job
• Step-by-step advice applicants must follow now

The goal is to give a plain-language overview for skilled workers, students, families, and employers.

Methodology

This article is based on hard data and statements from:

• Recent statistics from USCIS through June 2025
• Department of Justice (DOJ) press releases about visa fraud convictions
• Views from leading immigration attorneys
• Accounts from workers who were affected
• Analysis from VisaVerge.com, adding trusted expert background

Figures have been double-checked where possible and only quotes and statistics in the provided content are included.

Summary of Key Findings

• The number of eligible H‑1B registrations for the upcoming fiscal year (FY 2026) fell by almost 27% compared to the previous cycle.
• New “beneficiary-centric” registration rules and much higher fees are discouraging fraud and non-serious filings.
• Problems still exist: many new arrivals arrive in the United States 🇺🇸 only to find their promised job does not exist.
• The 60-day grace period remains a critical—but brief—window for those who lose their job.
• Indian nationals remain the most heavily impacted group.
• Enforcement is stronger, with more audits, site visits, and criminal charges against companies and brokers involved in scams.

Let’s break down the facts behind these trends and their meaning for H‑1B applicants.

Detailed Analysis and Statistics

Sharp Drop in H‑1B Registrations for FY 2026

For the Fiscal Year 2026 lottery:

This is roughly a 26.9% decrease in total eligible registrations—the steepest decline since the move to electronic registration. Most striking, the number of “unique beneficiaries” (real individuals applying) fell by a fifth, and the average applications per person dropped to nearly one-to-one. As one expert statement noted:

“The number of unique beneficiaries fell by about one-fifth compared with last year… The average registrations per beneficiary dropped to nearly one-to-one.”

This drop suggests that new anti-fraud rules are working, but it also means fewer chances overall, even for legitimate applicants who may have had more than one true job offer before.

Key Reasons for the Decline

Three main factors explain this sharp drop:

1. “Beneficiary-Centric” Lottery System
   • From March 2024, each registration must include the beneficiary’s unique passport or travel document information, and only one electronic entry per individual is allowed.
   • This put an end to schemes where multiple companies (often controlled by one broker or consultancy) made repeat filings for the same person.
2. Large Hike in Registration Fees
   • Employers now pay $215 for each candidate they register, instead of just $10 in past years.
   • The higher cost discourages mass filings by shell companies and “just in case” applications with no real job behind them.
3. Stronger Scrutiny and Enforcement
   • USCIS has more audits, site visits, and direct investigation of suspicious employers suspected of offering fake jobs.

How Fraud Continues to Harm Job Seekers

Even with better enforcement, the H‑1B system is still misused by some employers and third-party brokers. The main risk for workers: arriving in the United States 🇺🇸 and discovering that the promised job is either fake or has disappeared.

• Once in the country, if an H‑1B visa holder loses a job or never actually starts work, they enter a strict 60-day grace period. After that, if they don’t find a new, sponsoring employer and file appropriate paperwork, their legal status ends.
• The risk is worse for Indian nationals, who remain the largest group of H‑1B applicants, many of whom use staffing agencies or third-party consultancies.

How Does a Typical Fraud Scheme Work?

Here’s how the process often unfolds:

• An H‑1B applicant connects with a broker or consultancy.
• That company submits several applications under different (sometimes fake) company names, offering the same person the same “job” multiple times.
• If the person wins the H‑1B lottery, they often arrive in the United States 🇺🇸 only to find the job never existed, or the employer fails to provide work.
• The worker is stranded; the broker or consultancy disappears after collecting fees.

Visual Table: Comparing Real vs. Fraudulent Processes

Impact of Enforcement and Legal Action

• The Department of Justice has prosecuted several high-profile H‑1B fraud cases in 2025. Offenders, usually staffing agencies or consultancies, face penalties including up to ten years in prison and very large fines.
• Still, many workers harmed by these schemes do not report their experience, often because they fear losing their legal status if their employer retaliates or withdraws sponsorship.

When a person’s H‑1B status is tied so tightly to their job and employer, losing even a fake job triggers crisis. The 60-day grace period often is not enough for most people to find a new sponsor, get an offer, and submit paperwork—especially for those unfamiliar with U.S. hiring practices.

Broader Trends

Who Faces the Highest Risk?

• The biggest risks are for Indian STEM (science, technology, engineering, math) graduates and new arrivals who use consultancies for sponsorship.
• Those who land jobs through true, direct offers from real companies have a much better experience and outcome.

Are the New Rules Making a Difference?

The sharp drop in repeated, duplicate lottery registrations shows that the crackdown is discouraging both fraud and non-serious filings. However, not every scam can be spotted in time. Many brokers, consultancies, and shell employers are quick to adapt how they bend the rules.

Recent Policy Changes Affecting H‑1B Visa Applicants

1. Beneficiary-Centric Registration:
   • Since 2024, only one lottery entry per person is allowed, linked directly to the passport or travel document submitted at time of registration.
   • According to VisaVerge.com, this “collapse of duplicate filings” is the most impactful change yet.
   • Numbers already reflect this: the average number of applications per real person fell from more than 2 to just about 1.
2. Higher Registration Fees:
   • As of 2025, employers must pay $215 per candidate for the initial lottery.
   • The annual cap on available H‑1B visas remains about 85,000, with about one in three eligible applicants chosen.

Employers now face much higher upfront costs and more risk if USDA suspects they are breaking the rules, making it harder for mass filing fraud networks to profit.

Practical Steps for Today’s H‑1B Applicants

There are several steps every potential applicant should take to avoid scams and protect their future:

1. Check Your Sponsor Carefully
   • Make sure your employer is a real company based in the United States 🇺🇸 with an actual business presence—not just a mailing address or a “virtual” company.
2. Ask for a Written Offer
   • Insist on seeing a concrete, formal job offer letter which clearly states your salary, job duties, and work location before moving forward.
3. Never Pay for Your Own Petition
   • The law clearly says that only the employer can pay for all H‑1B petition fees. If you’re asked for money (beyond standard visa application fees to the government), that is a major red flag.
4. Get Independent Legal Advice
   • Speak with a real immigration lawyer before signing anything, paying anyone, or sharing personal details. Trusted legal advice helps prevent costly mistakes later.
5. Track Your Paperwork
   • Ask for copies of all filings and communication with USCIS, including registration receipts and notices. Use your own USCIS online account, when possible, to confirm your case is registered properly.

Visual Checklist: Imagine a checklist with these steps: “Sponsor Verified,” “Offer Letter Received,” “No Illegal Payments,” “Attorney Consulted,” “Filings Tracked.” Each ticked item means you are safer from scams.

Limits of the New Rules and Ongoing Risks

While enforcement is stricter, vulnerabilities remain:

• Some fraudulent employers and consultancies still escape notice until after visas are given out.
• The 60-day grace period is short and fixed; there is no easy way to extend it while waiting for new job offers or changes in status.
• USCIS statistics cannot always show the number of workers who end up stuck or forced to leave after arriving jobless.
• Many new arrivals do not have the funds or know-how to check their sponsor or get legal help in time.

Why Do Shady Firms Persist?

• Some employers and middlemen continue to misuse the system for cheap labor, knowing H‑1B status makes workers very dependent.
• Mass duplicate filings increased lottery odds for their clients before, but the new rules and fees make this much riskier and less profitable.

With the combination of higher costs and more audits, fewer brokers find it worthwhile to submit false or unnecessary filings.

Looking Ahead: What will 2025–2026 Bring?

Enforcement and audits are expected to remain high throughout the 2026 cap cycle. There is no sign the “one entry per person” rule will change soon. Lawmakers are discussing more ways to protect workers, but large-scale reforms are not announced or expected right away.

Nonetheless, workers, especially new international graduates and those using consultancies, are learning more about their rights and how to spot problematic sponsors. Sharing advice on social media and trusted immigration news sites is helping others avoid traps.

Actionable Takeaways for Prospective H‑1B Visa Applicants

• Always research your sponsor thoroughly; never trust a job offer simply because a recruiter says it’s real.
• Keep safe and organized records of every document, contract, and proof of payment.
• Know your rights: it is illegal for you to pay for petition or application fees (apart from the government’s set fee for your own visa at the consulate).
• If you find yourself jobless after entry, act fast within the 60-day grace period—contact recruiters, other employers, or legal advisors right away.
• If you spot or experience suspected fraud, report it through the official USCIS tip form.

Conclusion

Reforms have made the H‑1B Visa system much harder to abuse, with a big drop in duplicate and non-serious filings and much tighter controls on employer conduct. But the path is not completely safe—many applicants still face scams or end up jobless after winning the lottery. The 60-day grace period remains tough for most.

Applicants must take more responsibility now than ever: always check the real status of any employer, refuse illegal payment requests, get legal advice early, and act quickly if a job is lost after arrival. Staying informed through reliable updates, such as those on VisaVerge.com, will help protect your American dream.

For the latest updates on H‑1B policies, you can also visit the USCIS official H‑1B information page.

By knowing the rules—and your rights—skilled professionals can still build a career in the United States 🇺🇸 without falling into legal or financial trouble.

### Learn Today
H-1B Visa → A U.S. visa category for skilled foreign professionals working in specialty occupations.
USCIS → U.S. Citizenship and Immigration Services, the agency that manages immigration benefits and visa processes.
Beneficiary-Centric Registration → A 2024 rule allowing only one H-1B lottery entry per applicant based on passport ID.
60-Day Grace Period → A fixed time allowing H-1B workers to find a new employer after job loss before status ends.
Lottery System → The selection method randomly choosing applicants when H-1B registrations exceed the annual cap.

### This Article in a Nutshell

The H-1B visa faces major reforms in 2025, reducing fraud through one-entry rules, higher fees, and stronger enforcement, but job scams persist. Workers must verify sponsors, avoid illegal payments, and act quickly within the crucial 60-day grace period to secure their US work status and future.
— By VisaVerge.com