How the H-1B Visa Process Works: Lottery, Filing, and Employment
The H-1B visa allows U.S. employers to hire foreign workers in specialty occupations. Learn about the annual lottery, prevailing wage rules, filing timeline, and path to permanent residency.
780,000 Registrations for 85,000 Slots
In fiscal year 2025, U.S. Citizenship and Immigration Services (USCIS) received approximately 780,884 electronic registrations for the H-1B cap lottery — competing for just 85,000 available new visas. The selection rate was roughly 11%. The H-1B is the primary employment-based nonimmigrant visa for professionals in "specialty occupations" — roles that require at least a bachelor's degree in a specific field. Technology companies are the largest H-1B sponsors, but the visa is also used extensively in healthcare, engineering, finance, and academia.
Congress created the H-1B classification under the Immigration Act of 1990. The annual numerical cap has remained at 65,000 since 2004, with an additional 20,000 visas reserved for applicants holding a U.S. master's degree or higher.
Eligibility Requirements
Both the employer and the worker must meet specific criteria:
| Requirement | Employer | Worker |
|---|---|---|
| Job qualification | Position must be a "specialty occupation" requiring a bachelor's degree or equivalent in a specific field | Must hold at least a bachelor's degree (or foreign equivalent) in a field directly related to the job |
| Prevailing wage | Must pay at least the prevailing wage for the occupation in the geographic area | N/A (wage is the employer's obligation) |
| Employer-employee relationship | Must demonstrate the right to hire, fire, supervise, and control the worker's duties | Must work for the petitioning employer (or at an approved worksite) |
| No displacement | Must attest that hiring the H-1B worker will not adversely affect conditions of similarly employed U.S. workers | N/A |
The Filing Process: Three Stages
Obtaining an H-1B visa involves a multi-stage process that typically spans several months:
Stage 1: Electronic Registration (March)
Since 2020, USCIS has used an electronic registration system. During a designated registration period (typically early to mid-March), employers submit basic information about each prospective H-1B beneficiary and pay a $10 registration fee per entry. USCIS then conducts a random lottery to select enough registrations to meet the 85,000 cap. Selected registrants receive a notification and a 90-day filing window.
Stage 2: Labor Condition Application (LCA)
Before filing the H-1B petition, the employer must obtain a certified LCA from the Department of Labor. The LCA requires attestations that:
- The employer will pay the higher of the actual wage (what similar employees at the company earn) or the prevailing wage (determined by DOL survey data for the occupation and location)
- Working conditions for H-1B workers will not adversely affect those of similarly employed U.S. workers
- No strike, lockout, or work stoppage exists at the place of employment
- Notice of the LCA filing has been provided to the bargaining representative or posted at the worksite
LCA processing typically takes 7 to 10 business days.
Stage 3: H-1B Petition (Form I-129)
The employer files Form I-129 with USCIS, accompanied by the certified LCA, evidence of the specialty occupation, evidence of the worker's qualifications, and the applicable fees. Base government filing fees total approximately $1,710 to $2,805, depending on employer size. Companies with 25 or more employees also pay a $1,500 training fee ($750 for smaller companies). Large H-1B-dependent employers pay additional fees.
Premium processing is available for an additional $2,805, guaranteeing a response within 15 business days rather than the standard 3 to 6 months.
Duration and Extensions
H-1B status is initially granted for up to three years. It can be extended in increments of up to three years, with a maximum total stay of six years. Beyond six years, extensions are possible only if the worker has a pending employment-based green card application (labor certification or I-140) that has been filed at least 365 days before the six-year limit.
| Scenario | Maximum H-1B Duration | Legal Basis |
|---|---|---|
| No green card process pending | 6 years total | INA § 214(g)(4) |
| Labor certification or I-140 filed 365+ days before 6-year limit | 1-year extensions beyond 6 years | American Competitiveness in the 21st Century Act § 106(a) |
| I-140 approved but visa number unavailable | 3-year extensions beyond 6 years | AC21 § 104(c) |
Portability and Job Changes
H-1B workers are tied to their sponsoring employer. Changing jobs requires the new employer to file a new H-1B petition. Under the American Competitiveness in the 21st Century Act (AC21), the worker can begin employment with the new employer as soon as the new petition is filed — they do not need to wait for approval. This "portability" provision reduced employer leverage over H-1B workers but did not eliminate the dependence entirely, since the new petition could be denied.
Criticisms and Policy Debates
The H-1B program generates intense debate:
- Labor market impact — critics argue that some employers use H-1B workers to replace domestic employees at lower wages, particularly in IT outsourcing; supporters counter that H-1B workers fill genuine skill gaps and drive innovation
- Lottery fairness — the random selection process means that highly specialized workers (neurosurgeons, AI researchers) compete in the same pool as entry-level programmers; proposals to replace the lottery with a wage-based ranking system have been introduced but not enacted
- Wage suppression allegations — the Economic Policy Institute has argued that the prevailing wage system sets wages below true market rates; the Department of Labor revised its wage methodology in 2021, though portions were challenged in court
- Dependence on employer — the employer-sponsored nature of the visa creates a power imbalance; workers who lose their jobs have a 60-day grace period to find new sponsorship or leave the country
- Green card backlogs — for workers from India and China, per-country caps on employment-based green cards create wait times exceeding 10 years, trapping skilled professionals in temporary status for decades
Cap-Exempt Employers
Not all H-1B petitions are subject to the annual cap. Institutions of higher education, nonprofit research organizations affiliated with universities, and government research organizations can sponsor H-1B workers year-round without entering the lottery. Cap-exempt petitions represented a significant share of total H-1B approvals — approximately 30,000 to 40,000 per year in addition to the 85,000 cap.
The H-1B visa remains the primary gateway for skilled foreign professionals to work legally in the United States. Its mechanics, limitations, and political sensitivities reflect broader tensions in American immigration policy between economic competitiveness and domestic labor protection.
This article is for informational purposes only and does not constitute legal advice.
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