The latest h1b visa news signals one of the most consequential years for skilled immigration in the United States. Lawmakers in Congress are pushing major legislative proposals, state governments are imposing new restrictions on public institutions, federal agencies are redesigning the lottery system, and new cost structures are changing how employers approach international hiring. Together, these confirmed developments are reshaping the landscape for businesses, foreign professionals, universities, and the broader U.S. workforce in 2026.
For decades, the H-1B visa program has served as a primary pathway for U.S. employers to hire highly skilled foreign workers in specialty occupations. Technology firms, healthcare providers, financial institutions, research organizations, and universities rely on the program to fill roles requiring specialized knowledge. Now, significant regulatory and political shifts are redefining how the program operates and who benefits most from it.
Below is a comprehensive look at the current changes affecting the H-1B system and what they mean for employers and applicants across the country.
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Federal Bill Seeks to Eliminate the H-1B Program
In February 2026, a member of the U.S. House of Representatives introduced legislation aimed at ending the H-1B visa program altogether. The proposal, titled the Ending Exploitative Imported Labour Exemptions Act (EXILE Act), calls for the termination of the program as early as 2027.
Supporters of the bill argue that the H-1B system has allowed companies to replace American workers with lower-cost foreign labor. They say eliminating the program would prioritize domestic hiring and increase wage protections for U.S. citizens and permanent residents.
If enacted, the legislation would mark a historic shift in U.S. immigration policy. However, the bill must pass both the House and Senate and receive presidential approval before becoming law. As of now, the H-1B program remains active, but the proposal reflects rising political scrutiny and an increasingly polarized debate over skilled foreign labor.
The introduction of such legislation has already sparked concern across major industries that depend on international talent. Technology companies, engineering firms, and medical institutions have emphasized that many highly specialized roles remain difficult to fill solely with the domestic workforce.
Texas Restricts New H-1B Filings at Public Institutions
State governments have also begun taking direct action related to the H-1B program.
In early 2026, Texas implemented an executive directive prohibiting public universities and state agencies from initiating new H-1B petitions without written approval from the Texas Workforce Commission. The directive is scheduled to remain in effect through May 31, 2027.
Under the order, affected institutions must provide detailed reporting on their current H-1B workforce, including job roles, visa expiration dates, and employment classifications. The directive aims to ensure that state-funded entities evaluate domestic workforce options before turning to foreign hiring.
Texas public universities, which frequently use H-1B visas to recruit researchers, professors, and specialized staff, must now navigate additional layers of review. The order does not affect private employers in the state, but it significantly alters hiring practices within public higher education and state government.
Florida Proposes Pause on H-1B Hiring in Public Universities
Florida policymakers have also taken steps to reassess H-1B hiring within state-funded institutions.
A proposal under consideration seeks a one-year pause on hiring H-1B visa holders at public universities. The measure follows earlier directives aimed at reviewing visa usage across Florida’s university system.
Although the proposed pause has not yet taken full effect, it signals growing state-level involvement in skilled immigration oversight. Universities that rely on global recruitment for faculty, research positions, and specialized academic roles are monitoring the situation closely.
State-level initiatives reflect broader national debates about workforce priorities and immigration policy, particularly in publicly funded sectors.
Major Overhaul of the H-1B Lottery System
One of the most significant administrative changes this year involves the structure of the H-1B lottery itself.
Beginning February 27, 2026, the Department of Homeland Security implemented a wage-based weighted lottery system. Under the new approach, petitions are no longer treated equally in a purely random selection. Instead, entries receive weight based on the wage level associated with the job offer.
Positions classified at higher prevailing wage levels receive more entries in the lottery pool. Lower-wage roles receive fewer entries, reducing their statistical likelihood of selection.
Officials state that the new system aims to prioritize higher-skilled and higher-paid workers, aligning the program with its intended focus on specialty occupations. Critics argue that the change may disadvantage early-career professionals and recent international graduates who typically start at lower wage tiers.
The fiscal year 2027 H-1B cap season will operate entirely under this weighted model. Employers must submit electronic registrations during the March 2026 window. The annual cap remains set at 85,000 visas, including 20,000 reserved for individuals holding advanced degrees from U.S. institutions.
For employers, salary strategy now plays a more significant role in selection probability. Compensation structures may influence not only recruitment but also lottery outcomes.
$100,000 Additional Fee Alters Cost Calculations
A major financial change also continues to shape employer decisions.
A presidential proclamation issued in September 2025 introduced an additional $100,000 fee on certain new H-1B petitions filed for workers applying from outside the United States. The added charge applies to qualifying new cap-subject petitions and does not affect renewals or certain in-country status changes.
A federal court upheld the fee structure, allowing it to remain in place throughout 2026. The substantial increase has prompted businesses to reassess hiring budgets and workforce planning.
For large multinational corporations, the added cost may represent a manageable expense. For startups and small-to-mid-sized companies, however, the financial burden could influence sponsorship decisions. The higher cost structure may also shift hiring dynamics across industries, particularly in sectors that rely heavily on international recruitment.
Ongoing Consular Backlogs Create Delays
Operational challenges at U.S. consulates abroad continue to impact visa processing timelines.
In India, which accounts for a significant share of H-1B beneficiaries, appointment backlogs have extended into 2027 for certain interview categories. Applicants who require visa stamping before traveling to the United States may face extended wait times even after petition approval.
These delays create planning challenges for employers and foreign professionals alike. Companies must account for potential onboarding delays, while applicants may need to adjust relocation timelines.
Although immigration authorities continue to process petitions domestically, consular capacity constraints remain a critical bottleneck in the system.
Broader Economic and Workforce Implications
The combination of legislative proposals, state restrictions, lottery restructuring, fee increases, and consular delays marks a turning point in U.S. skilled immigration policy.
Employers must now approach H-1B sponsorship with heightened strategic planning. Wage levels influence lottery success rates. Budget allocations must account for potential six-figure filing fees. Public institutions in certain states must comply with additional reporting and approval requirements.
At the same time, foreign professionals face a more competitive and complex pathway. Higher-wage candidates may see improved selection odds under the weighted lottery, while entry-level applicants may experience reduced opportunities.
The debate surrounding skilled immigration reflects broader economic questions about labor shortages, wage growth, global competitiveness, and workforce development. Supporters of reform argue that prioritizing domestic workers strengthens the national labor market. Others contend that restricting access to global talent could hinder innovation and economic growth.
What Employers Should Consider Now
Businesses planning to participate in the fiscal year 2027 cap season should act early. Reviewing prevailing wage levels, budgeting for additional fees, and preparing complete electronic registrations are critical steps.
Organizations operating in states with additional oversight must ensure compliance with local directives. Public universities in particular should closely monitor state guidance regarding visa sponsorship.
Companies should also build flexibility into hiring timelines to account for possible consular delays abroad.
What Skilled Workers Need to Know
Foreign professionals seeking U.S. employment should understand how the new weighted lottery system may affect their chances. Salary level plays a more significant role than in prior years.
Applicants located overseas must remain aware of visa appointment availability and potential delays. Those already in the United States should monitor renewal timelines carefully to avoid disruptions.
The evolving policy environment underscores the importance of staying informed and planning strategically.
As the political and regulatory landscape continues to shift, the impact of today’s h1b visa news will shape the future of skilled immigration for years to come.
What are your thoughts on these sweeping changes to the H-1B program? Share your perspective below and stay connected for continued updates.
