End H-1B Lottery: US Economic Report Pushes for New System

The United States is once again considering major changes to the H-1B visa system after Republicans proposed a new economic plan that could remove the existing lottery process. Amid policy uncertainty under the Donald Trump administration, Indian tech professionals may need to adapt to a completely different visa structure.

According to the latest annual report released by the Joint Economic Committee chaired by David Schweikert, Republicans are pushing for a merit-based H-1B selection system. The proposal aims to prioritise applicants with higher salaries, advanced degrees, and specialised technical expertise instead of using a random lottery system.

The report stated that America’s ageing population, labour shortages, and rising debt require stronger focus on high-skilled immigration. Under the proposed model, applicants with expertise in artificial intelligence, emerging technologies, and highly specialised fields could receive preference during the visa selection process.

Indian nationals are expected to be among the most affected groups if the proposed changes are implemented. Reports suggest Indian professionals received nearly 70 percent of all H-1B visas in FY25, making them the largest beneficiary group under the current system. Any major policy shift could significantly impact Indian IT workers and outsourcing firms.

For experienced Indian professionals working in AI and emerging technology sectors, the proposed changes could improve their chances compared to the unpredictable lottery model. However, entry-level applicants and companies heavily dependent on outsourcing may face serious challenges under a salary and skill-focused system.

The latest proposal also comes at a time when the Trump Administration has supported stricter wage-related rules for visa holders. Reports also mention discussions around the “End H-1B Visa Abuse Act of 2026,” which proposes tighter restrictions, lower visa caps, and higher minimum salary requirements for applicants.

As of now, no final decision has been announced regarding these proposals. However, the discussions clearly indicate that the United States is exploring major reforms to reshape the existing H-1B visa system in the coming years.