H-1B Proposed Changes, Everything We Know

Evidence tier: A1 Evidence type: Auto-discovered official publication Source: Deel Company Blog Official publication date: 2026-07-17 Captured: 2026-07-19T13:19:30.576Z

Published: September 20, 2025

Updated: June 19, 2026

On September 19, 2025, the White House announced a proclamation requiring a $100,000 one-time fee for certain "new" H-1B petitions. On June 8, 2026, a Massachusetts federal court ruled the fee unlawful, determining it functions as a revenue-generating tax rather than a legitimate immigration restriction. However, that same court has temporarily paused its order while the government seeks further review. As a result, USCIS may continue requiring the $100,000 fee for now.

The legal fight is ongoing, and the fee's status could change quickly as litigation continues. Both employers and visa holders should stay informed as this situation remains highly fluid.

Timeline of key updates

• June 18, 2026: The Massachusetts federal court that voided the $100,000 fee temporarily paused its order while the government seeks further review. USCIS may now continue requiring the fee pending the outcome of ongoing litigation.

• June 8, 2026: A federal court voided the $100,000 H-1B fee requirement, determining it functions as a revenue-generating tax rather than a lawful immigration restriction or ministerial filing fee. The White House announced it will appeal this decision.

• Sept 19, 2025: The White House announced a proclamation requiring a $100,000 one-time fee for certain “new” H-1B petitions (where applicable)

• Sept 20, 2025: USCIS released a policy memorandum clarifying how the proclamation would be interpreted and applied

• Oct 20, 2025: USCIS issued additional guidance explaining who must pay the fee, how to pay it, and how to request an exception

• Dec 29, 2025: DHS published a separate final rule establishing a new Weighted Selection Process for cap-subject H-1B registrations, separate from the $100,000 fee

The headlines, in plain English

A Massachusetts federal court initially ruled the $100,000 H-1B fee unlawful on June 8, 2026, determining it functions as a revenue-generating tax rather than a lawful immigration restriction. However, the court has temporarily paused that order while the government seeks further review. As a result, USCIS may continue requiring the fee for now. The legal situation is evolving rapidly, and the fee's status could change quickly as litigation continues. Employers should prepare for either scenario—the fee being required or waived—until a final ruling is issued.

Who could the $100,000 filing fee apply to?

The fee was originally intended to apply only to new petitions filed for individuals outside the United States who did not already hold a valid H-1B visa. It was not meant to apply to changes of status, extensions, or amendments filed for individuals already in the US.

Who may need to make the fee payment?

Previously, employers were instructed to make the $100,000 payment through pay.gov using the H-1B VISA PAYMENT TO REMOVE RESTRICTION form.

Could there be any exceptions to paying the fee?

Exceptions may be granted only in “extraordinarily rare” circumstances where the Secretary of Homeland Security determines that:

• The worker’s employment is in the national interest
• No qualified US worker is available for the role
• The worker poses no threat to national security or welfare, and
• Requiring the employer to pay would “significantly undermine” US interests

Employers seeking an exception were advised to email H1BExceptions@hq.dhs.gov with supporting evidence. USCIS emphasized that the bar for approval would be exceptionally high, and few cases are expected to qualify.

The proposed update offers clarity for employers filing domestic change-of-status cases, confirming they are not subject to the new fee. However, it also underscores that the $100,000 charge would still apply to new overseas hires, tightening rules around global mobility and hiring flexibility.

New: Weighted selection process for cap-subject H-1B petitions

On December 29, 2025, DHS published a final rule establishing a new Weighted Selection Process for cap-subject H-1B registrations. This represents a significant change from the traditional, purely random H-1B lottery used in prior cap seasons.

Under the new framework, USCIS will continue to require employers to submit registrations during the H-1B cap season, but selections may be made using weighted criteria rather than treating all eligible registrations equally. DHS has stated that the goal of this approach is to better align H-1B selections with US economic and workforce priorities.

What employers should know:

• The weighted selection process applies only to cap-subject H-1B petitions
• It affects who is selected from the registration pool, not how petitions are filed once selected
• It does not eliminate the H-1B cap or the registration requirement
• The $100,000 H-1B fee is separate and may apply only at the petition-filing stage, where applicable
• USCIS is expected to issue additional operational guidance explaining how weighting factors will be applied before the next H-1B cap season

At this time, DHS has not published detailed scoring or ranking mechanics for individual registrations. Employers should expect further clarification ahead of the next registration window.

What could change for H-1B workers and employers

• Costs & budgeting: The $100,000 fee was initially voided by court order on June 8, 2026, but that order has been temporarily paused while the government seeks further review. USCIS may now continue requiring the fee pending the outcome of litigation. Employers should budget for the fee as a potential cost until a final ruling is issued, but remain prepared for either outcome. Domestic filings (e.g., F-1 to H-1B, amendments, or extensions) were always exempt from this fee. Employers should also budget for the H-1B cap registration fee ($215 per beneficiary), which applies during cap-season registration and is separate from petition filing fees.
• Lottery and cap season: The next H-1B cap season may be the first cycle operating alongside both (1) the new weighted selection framework for cap-subject registrations and (2) the $100,000 fee for certain new overseas hires at the petition-filing stage (where applicable). USCIS has confirmed that the fee applies only once a petition is filed, not at the registration stage. However, selection itself may no longer be purely random. Under the weighted framework, some registrations may have a higher likelihood of selection depending on criteria set by DHS. Employers should prepare for updated USCIS instructions before the next filing window opens
• Selection strategy: With the introduction of weighted selection, employers may need to rethink how they approach H-1B registrations. If certain skills, roles, or petition characteristics are prioritized, registration strategy—not just volume—may play a larger role in cap outcomes

Practical steps for H-1B workers and employers

Until the rules are tested and court challenges resolved, both employers and visa holders should stay proactive and informed.

1. Organize your documents: Have your latest I-797, I-94, visa stamp (if applicable), pay stubs, and passport (valid for at least six months) ready.
2. Flag upcoming filings: If you anticipate an extension, amendment, or change of status, coordinate early with your HR or immigration counsel to ensure proper timing under the current guidance.
3. Rely on official updates: Use trusted sources like USCIS, the Department of State, and reputable immigration news outlets. Deel will update this article as soon as new operational details or court rulings become available.

Sources to follow

• White House fact sheet & proclamation text (for official policy language)
• Major outlets summarizing the change and reactions across the tech sector
• Practitioner alerts for travel/entry specifics as consulates and CBP interpret the proclamation

Looking to prepare your 2026 hiring strategy? Book a free consultation below to speak directly with our immigration experts.

Don’t miss our on-demand webinar: H-1B – Understanding the Changes and Planning Ahead

H-1B cap season is changing fast—higher registration costs, updated lottery integrity rules, and (potentially) a $100,000 fee for certain “new” petitions. Now is the time to prepare your 2026 hiring strategy.

Join our immigration and global mobility experts to:

• Understand how the changes could impact US hiring
• Explore global hiring alternatives, from mobility programs to EOR and contractor models
• Learn practical strategies to mitigate risk and protect your hiring pipeline

Watch on-demand here