Today, United States Citizenship and Immigration Services (USCIS) announced a final rule that would drastically change the lottery system this year. Under the new rule, USCIS would give priority to applications offering the highest wages, rather than selecting applications on a random basis as it has historically done.

USCIS acknowledges that the new rule will essentially eliminate H-1B visas for entry-level employees, representing yet another blow to international students, who typically transition from a student visa to the H-1B visa on their way to becoming a permanent resident. The rule is scheduled to go into effect just before the 2021 H-1B lottery, which typically occurs in April, but it will likely be subject to court challenges and review by the incoming administration.

Companies with employees seeking H-1B sponsorship should consult with immigration counsel to prepare in advance for the 2021 H-1B season.