US unveils huge overhaul of lottery for H-1B visas; here's what will change

The US has announced a sweeping overhaul of its annual lottery for the coveted H-1B speciality occupation visas, popular among Indian IT professionals, which an official said will axe “a flawed model” and herald a “beneficiary-centric … faired system”.

The changes are aimed at curtailing the potential for fraud and improve and streamline the registration system, the administration said.

The H-1B visa application submission process for the fiscal year 2025 would start at noon on March 6 and close on March 22, a US federal agency said on Tuesday (January 30).

The H-1B visa is a non-immigrant visa that allows US companies to employ foreign workers in speciality occupations that require theoretical or technical expertise. Tech companies lean on it to hire thousands of employees every year from countries like India and China.

Here are the major changes that the US government has introduced:

No multiple applications

Unlike in the past when multiple applications by an individual often resulted in abuse, the H-1B visa applications would now be counted and accepted based on individual applicants.

Even if one individual files multiple applications for various companies, they would be counted as one application based on personal credentials like passport numbers.

The US Citizenship and Immigration Services (USCIS) also unveiled new rules to strengthen the integrity of and reducing the potential for fraud in the H-1B registration process.

This includes reducing the potential for gaming the registration system and ensuring each beneficiary would have the same chance of being selected, regardless of the number of registrations submitted.

Said USCIS Director Ur M Jaddou: “The improvements should make H-1B selections more equitable for petitioners and beneficiaries and will allow for the H-1B process to be fully electronic from registration, if applicable, until final decision and transmission of approved petitions to the Department of State."

Online account

During the registration period, prospective petitioners and their representatives must use a USCIS online account to register each beneficiary electronically for the selection process and pay the associated registration fee.

From February 28, companies can open their account that can be used to start and complete the registration process.

Employers’ registration

USCIS said this final rule contains provisions that will create a beneficiary-centric selection process for registration by employers, codify start date flexibility for certain petitions, and add more integrity measures related to the registration process.

Now, registrations will be selected by a unique beneficiary rather than by registration.

Travel document

This process is designed to reduce the potential for fraud and ensure that each beneficiary would have the same chance of being selected, regardless of the number of registrations submitted on their behalf by an employer.

Starting with fiscal 2025, which begins on October 1, 2024, the USCIS will require registrants to provide valid passport information or valid travel document information for each beneficiary.

It must be the one the beneficiary intends to use to enter the US if issued an H-1B visa. Each beneficiary must be registered under only a single passport or travel document.

Also, the H-1B final rule codifies USCIS ability to deny or revoke H-1B petitions where the underlying registration contained a false attestation or was otherwise invalid.

Fees issue

Under the new rule, USCIS may deny or revoke the approval of an H-1B petition if it determines that the fee associated with the registration is declined, not reconciled, disputed or otherwise invalid after submission.

The Director of Government Relations in the American Immigration Lawyers Association, Sharvari Dalal-Dheini, said the new registration process will revise how lottery registration is run and create a more equitable system.

"After last year's registration period, when more than 750,000 registrations were submitted for 85,000 visas, it was clear the existing system was unworkable. (We) and our partners advocated for exactly the sort of changes announced in this rule; changes that will ensure a beneficiary-centric lottery process to level the playing field," she said.

"It is commendable that DHS took steps to shift from a flawed model to one that will create a fairer system in time for this year's registration period," Dalal-Dheini said.

Pilot programme for visa renewal

On Monday (January 29), the US also launched a pilot programme to renew the H-1B visas domestically in a decision that is likely to benefit thousands of Indian tech professionals. The programme will allow such visa holders currently in status to renew their visas in the US before a temporary trip abroad.

An announcement in this regard was made during the visit to the US of Prime Minister Narendra Modi last year.

The State Department said the applications under the pilot programme will be accepted till April 1 or when all application slots are filled, whichever comes first.

This is the first time in nearly two decades that a limited number of H-1B non-immigrants will be able to renew their visas from within the US.

4,000 applications each week

The State Department said the pilot programme is voluntary and it will allow some 4,000 applications each week.

Half of this will be for applicants whose H-1B visas were issued by its diplomatic missions in Canada and another 2,000 for applicants whose prior H-1B visas were issued by US missions in India.

Application slots will be released on January 29, February 5, February 12, February 19, and February 26.

“Applicants who are unable to apply on one application date may reattempt application on any of the remaining application dates during the entry period. The application period will close when all application slots are filled or on April 1, whichever comes first,” it said.

The processing time will take six to eight weeks from the date the applicant’s passport and other required documents are received by the State Department.

All applications will be handled on a first-received, first-processed basis.

(With inputs from agencies)