Administration Issues H-1B Cap Selection Regulation

The regulation would change the way H-1B lottery submissions are selected from the current randomized lottery system (with a preference for Beneficiaries with Master’s degrees from US institutions by way of an additional 20,000 H-1B set aside) to a system.

Under the proposed rule, only offered wage for the role matters, with preference given to the highest offered wages.  While technology and finance industries which offer high wages will likely benefit, other industries without as high a pay scale will likely, as a practical matter, lose access to the H-1b program over time – including nonprofits which offer traditionally lower wages.

This is a final rule making purporting to make permanent the changed in the November 2, 2020 proposed rule on this topic.  It is intended to become effective March 9, 2021 – in time for this year’s H-1B cap selection process.

However, it is highly likely that the incoming Biden administration will revoke this regulation, or at the least it will be delayed under the expected 60-day moratorium on new regulations normally activated by incoming presidential administrations.