Policy adjustments to the H-1B visa programme under the current administration have increased compliance costs and drawn greater regulatory scrutiny for hiring companies, while government figures point to a notable drop in applications from large technology firms, according to findings from a Congressional Research Service review.
Dated October 14, that document examines a cluster of executive decisions touching on pay levels, how visa slots are allocated, the terms under which workers are employed, and the pathways available to overseas professionals seeking to maintain lawful residency in the United States.
The report noted that, as of February 2026, a points-weighted selection method had replaced the longstanding random draw for visa allocation, with the revised system giving preference to candidates whose qualifications and compensation sit at the higher end of the scale. Under the updated framework, H-1B employment lottery applications began operating on a new basis starting that October.
A rule change put forward by the Labor Department that March would have raised the pay floors companies are required to set when bringing in overseas workers. The plan would lift the wage floor for entry-level positions from around the 17th percentile of area pay rates to the 34th percentile. Eligibility thresholds tied to more experienced workers would increase by a notable margin as well.
Projections from the Labor Department put the added burden on employers at roughly $1.46 billion over the opening twelve months under the proposed wage adjustments.
Among the document's findings is a proposed filing charge of $103,265 covering certain H-1B petitions — a levy that is separate from the $100,000 assessment placed on employers in September 2025 when they sought to bring in new H-1B workers from abroad. A congressional review found that pending legal action has put the previous fee on hold.
The document draws a distinction between obligations it proposes for the future and steps that have already been put in place. One adjustment already in effect extends the reach of a pre-existing $4,000 biometric fee, bringing certain H-1B and L-1 visa extension petitions under its scope.
The administration has widened its scrutiny of employers suspected of exploiting the visa programme — either by manipulating its provisions or by replacing domestic workers with lower-cost hires from abroad. An executive order signed by President Trump that September directed federal agencies to strengthen their coordination when assessing job applications from employers that had already carried out layoffs or were planning to reduce their workforces. Under current law, nothing automatically bars a company from bringing on H-1B workers even after recently letting domestic employees go, the report found.
Proposed adjustments in the package stand to reshape conditions for workers from abroad and the households they support. Under the proposal, the 60-day window that allows certain temporary foreign workers to remain in the country following job loss would be eliminated. Spousal work-permit renewals tied to H-1B visa holders have also lost their previously automatic status, the assessment found.
Among the data points highlighted in the document, a drop in employer demand for overseas workers stands out. Across the first eight months that the $100,000 fee was in place, petitions from cap-exempt employers seeking consular processing through initial applications fell by 91 per cent, the report determined.
Under the H-1B visa scheme, businesses operating in the United States can bring in overseas professionals to fill roles requiring specialised knowledge, with technology, engineering, finance, and research among the fields most commonly covered. Workers from India have, over time, made up the predominant share of those receiving H-1B approvals. The programme has contributed to the growth of the American technology industry and to the operations of Indian information technology firms whose work is oriented toward US-based clients.
