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Sophie Zhang Team
Cover: The H-1B Landscape Now: The Lottery, Job Changes, Layoffs, and Visa Stamping Under the Latest Rules

Regulatory updateSeptember 23, 2026

The H-1B Landscape Now: The Lottery, Job Changes, Layoffs, and Visa Stamping Under the Latest Rules

A wave of H-1B changes has arrived at once. We separate the rules already in effect, the fees limited by court rulings, and the proposals still under review, and walk through the lottery, job changes, the layoff grace period, and visa stamping.

Almost every recent H-1B development affects the work and lives of people employed in the U.S. The White House extended the $100,000 policy and ordered scrutiny of employer layoffs. USCIS proposed a new high fee and even plans to eliminate the 60-day grace period after a job loss.

But these changes are not all at the same stage. Some are in effect, some are limited by court rulings, and some are only proposals open for public comment. This article brings the main changes and common status questions together from the perspective of three groups of readers: those preparing to apply, those who already hold H-1B status, and those planning international travel.

I. First, know what stage each policy is at

Policy change

Current status

Direct effect

Extension of the $100,000 proclamation

Proclamation extended to September 21, 2027; collection of the fee limited by court rulings

Under the court rulings and USCIS notices, the $100,000 fee is not currently collected, though it may be reinstated

Review of employer layoffs

Executive order issued September 18; implementation details still developing

Recent and planned layoffs will be considered in H-1B adjudication

Wage-weighted selection

In effect; used for the FY2027 registration season

The registered wage level affects selection weight; higher wages mean better odds

Consular interviews and online presence review

In effect

H-1B and H-4 visa renewals need time for interviews and review

End of automatic EAD extensions for certain renewals

In effect, with transition provisions

H-4 spouses renewing an EAD should watch the gap between the old card's expiration and new authorization

Additional $103,265 fee

Proposed rule awaiting a final version

Would apply to all cap-subject H-1B petitions, including changes of status inside the U.S.

Higher prevailing wage levels

Proposed rule awaiting a final version

Wages are currently calculated under existing rules; watch for the final rule

Elimination of the 60-day grace period

Proposed rule awaiting a final version

Eligible workers can still use a discretionary grace period of up to 60 days

Rules already in effect can be planned around now. For fees limited by court rulings, follow the latest litigation. Proposals have to wait for a final rule.

On the layoff review, for example: a company that has just laid off a group of employees while filing many H-1B petitions for the same or very similar positions may face tougher questions about whether the H-1B program is being used to replace U.S. workers.

II. The $100,000 fee and the $103,265 fee are separate questions

The $100,000 proclamation was extended, but the fee is still limited by the courts

On September 18, 2026, the White House extended the 2025 entry-restriction proclamation by one year, to 12:00 a.m. Eastern Time on September 21, 2027. There are two separate timelines here: the proclamation remains in place, while whether the fee can be collected depends on court rulings and USCIS guidance.

USCIS's current notice records several points in the litigation. On June 8, 2026, the federal district court in Massachusetts vacated the agency guidance implementing the fee requirement. That ruling was later stayed. On July 24, the First Circuit denied the government's request to keep the stay in place pending appeal, and DHS said it would comply with the ruling. The $100,000 fee is not currently being collected.

Note, however, that the July 24 decision addressed only the request for a stay. The case itself continues, and USCIS has said it intends to resume collecting the fee once the restriction is lifted. How the policy develops remains to be seen.

If the fee returns, which petitions could be affected

Under USCIS's earlier guidance, the focus was on petitions filed after a certain date for beneficiaries outside the U.S. who do not hold a valid H-1B visa. Changes of status, extensions, and amendments inside the U.S. were not affected.

The $103,265 fee is a separate proposal still under review

On August 25, 2026, DHS proposed an additional $103,265 fee for cap-subject H-1B petitions. The proposal is broader: it would apply whether the beneficiary is inside or outside the United States.

An F-1 student in the U.S. changing status to a cap-subject H-1B, for example, could be affected by this proposal in the future. Ordinary extensions and typical H-1B transfers need to be assessed under their own categories.

At the time of writing, the document is still a proposed rule, with comments due September 24, 2026. Whether the fee takes effect, when, and to whom it applies will depend on the final published version.

The two amounts need to be understood separately. The $100,000 comes from the earlier presidential proclamation. The $103,265 comes from the new proposal, which lists the fee in addition to other applicable fees and notes it could run alongside the proclamation payment. How fees are ultimately collected depends on the final rule and the litigation.

Ordinary H-1B fees for next season

Regular H-1B fees still apply. Electronic registration for next season is currently $215 per beneficiary. At filing, the base I-129 fee applies, along with the training fee, fraud prevention fee, asylum program fee, and others depending on the employer and petition type.

Premium processing currently costs an additional $2,965. It requires USCIS to take action within 15 business days, which may be an approval, a denial, or an RFE. Consular visa processing has its own timeline. A detailed budget can be worked out line by line from the current USCIS fee schedule.

III. How a past layoff can affect an H-1B petition

When a company has laid people off, the review will focus on how the layoffs relate to the proposed H-1B position and what the company's actual staffing looks like. Explaining the position and the staffing changes clearly matters more than simply answering whether there were layoffs.

The September 18, 2026 executive order directs several agencies to share wage, employment, education, and industry data, and to consider changes in employers' workforces when handling H-1B matters. Specifically, it directs agencies reviewing LCAs, H-1B petitions, visa applications, and H-1B admissions to consider whether the employer:

  • has directly or indirectly conducted layoffs in the past year; or
  • plans future layoffs;
  • and whether those layoffs would harm U.S. workers in similar positions or employment settings.

For beneficiaries, this means the company's workforce record, not just their degree and duties, may come under review. When preparing the petition, the employer can explain its hiring needs and recent staffing changes.

For people working through staffing firms or at client sites, the petitioning employer, actual duties, client arrangements, and payroll records must all line up. A real position and consistent records are what allow the job to be explained clearly in review.

IV. First-time petitions: the lottery first, then the job requirements

How wage-weighted selection affects your odds

The wage-weighted selection rule took effect on February 27, 2026, and was used for the FY2027 season, that is, the spring 2026 registration.

The registered wage level is based on Occupational Employment and Wage Statistics (OEWS) data for the occupation and work location. Levels I, II, III, and IV receive one, two, three, and four entries respectively, so a higher level carries more weight in the random selection. Every level is still in the pool, and the final result depends on that season's registrations.

Salary is only the starting point for determining the level. The city and the occupation matter as well. The same salary can map to different levels in different cities or occupations, and the level used for registration and the wage level on the LCA must each be checked.

Where multiple work locations, multiple positions, or multiple registrations for the same person are involved, specific rules, such as using the lowest corresponding level, apply. The earlier the employer and worker settle the real position, location, and wage, the easier it is to prepare accurate registration information.

Weighted selection is in effect; the wage-level change is still a proposal

Another "higher wages" headline is easy to confuse with the lottery. On March 27, 2026, the Department of Labor proposed changing how prevailing wages are calculated, raising the percentiles that correspond to each of the four wage levels. That is a wage-standard proposal. The weighted selection rule described above is already in effect.

The wage proposal still needs a final rule. Today, the required wage is generally the higher of the local prevailing wage for the position and the actual wage the employer pays similarly qualified workers, along with other applicable requirements. It is worth agreeing on the position, salary, and fee budget before starting. After selection, the employer still needs to file the petition on time.

V. After selection: when can work begin?

Selection is only the first step. For a typical cap-subject case, the employer next obtains a certified LCA and files the I-129 with USCIS. Then, depending on the situation, the worker either completes a change of status inside the U.S. or obtains a visa at a consulate and enters. Work can begin only with an approval and the corresponding authorization.

For someone inside the U.S., check whether the approval notice also approves the change of status and the date the new status takes effect. For consular processing, the visa and entry must be completed. Cap-subject H-1B employment generally starts no earlier than October 1 of the relevant fiscal year, as stated in the approval.

Bridging from F-1 and OPT to the H-1B

An eligible F-1 student whose cap-subject H-1B change of status is filed on time may receive cap-gap protection, which automatically extends OPT until the H-1B is approved. Under current rules, the protection lasts until April 1 of the fiscal year requested or the H-1B start date, whichever comes first. Withdrawal or denial can end the protection early.

But maintaining status and continuing to work are separate questions. If OPT has already expired and the student is in the 60-day grace period when a qualifying H-1B change of status is filed, cap-gap can still extend F-1 status. Because the OPT ended before the H-1B was filed, however, cap-gap does not restore the expired work authorization, and the student cannot work until the H-1B takes effect.

For a student applying for an FY2027 H-1B, only by putting the OPT end date, the H-1B filing date, and the approval and start date side by side can you see which periods allow stay and which allow work. An experienced immigration attorney should confirm status before the H-1B is filed. Traveling abroad while a change of status is pending also requires assessing the risk that the request will be treated as abandoned.

VI. Already on an H-1B: extensions and job changes

Extensions are usually exempt from the lottery, but the requirements still apply

People already counted against the cap who remain eligible can usually extend or change employers without going through selection again. The new employer, position, wage, and history of maintaining status will still be reviewed, and the employer's layoffs may also be considered.

When the same employer files a qualifying extension before the current status expires, the worker can usually continue working under the same conditions for up to 240 days or until USCIS decides, whichever comes first. That rule covers the period while an extension is pending. The 60-day grace period after a job loss is a separate matter.

Moving to a new company: when can you start?

When H-1B portability applies, the worker can generally begin the new job once the new employer properly files a qualifying I-129, from the applicable start date. Whether this works depends on the individual's status and filing history.

So after receiving an offer, first check current status, the authorized period of stay, filing dates, and past employment. An LCA, an offer, or materials in preparation are pre-filing steps. Only a filed, qualifying I-129 brings the portability rule into play.

If the new petition is denied, authorization to work for the new employer based on that petition usually ends. When deciding when to leave the current job, weigh that risk alongside the new company's start date.

Remote work, transfers, and second jobs depend on the petition's scope

Moving to a different area, significantly changing duties, changing hours, or a corporate merger or restructuring can all affect the original petition. After a change in work arrangements, check with an attorney whether an H-1B amendment is needed.

Likewise, H-1B work authorization is tied to specific petitions. Working part time for a second company generally requires a concurrent H-1B petition and authorization. A self-employed H-1B needs special analysis of corporate control and the position.

VII. After a layoff: using the 60-day grace period

Eligible H-1B workers can still use a discretionary grace period of up to 60 days. DHS issued a proposed rule on September 11, 2026, to eliminate it, but that rule is still only a proposal, with comments due November 10, 2026. For now, plan under the current rules.

Under current rules, after employment ends, the grace period lasts up to 60 consecutive days or until the end of the authorized stay, whichever is earlier. The 60 days generally run from the actual end of employment, so keep the termination letter, records of the last day worked, and pay stubs. Severance, PTO payouts, and other post-employment payments do not by themselves delay the start of the grace period.

During the grace period, you can find a new employer and have a qualifying H-1B transfer filed in time, apply for another status, or arrange to depart. Once a new employer files a qualifying H-1B petition in time, the worker can usually begin working for that employer under the portability rule without waiting for approval.

After receiving a layoff notice, first check the I-94, the petition's validity, and the actual employment termination date to calculate when the grace period ends, then move quickly on a plan to maintain status.

VIII. Getting a visa abroad: know the three documents

Don't confuse these three documents:

  • The I-797 is USCIS's approval notice for the petition;
  • The H-1B visa in your passport is used to seek entry;
  • The I-94 records the status and period of stay you were admitted for. An approval of a change of status or extension may also include a new I-94, so always check the latest valid record.

While in the U.S., look at your current status and I-94. When preparing to return, look at your visa and entry requirements. Check your new I-94 after every entry, because passport validity can sometimes shorten the authorized stay.

When planning a visa trip, build these three items into the schedule:

  • Interviews: Under State Department policy in effect since October 1, 2025, H-1B and H-4 applicants generally must attend an interview. Check appointment and interview requirements before renewing.
  • Location: Current guidance asks applicants to schedule nonimmigrant visa interviews in their country of nationality or residence. If applying based on residence, bring proof of local residence. If you plan to apply in a third country, check appointment eligibility and local requirements first.
  • Online presence review: Since December 15, 2025, H-1B and H-4 visa applications have been subject to online presence review, and the State Department asks these applicants to set their social media accounts to public. Fill out forms, résumés, and online professional histories truthfully, and be ready to explain any differences.

After USCIS approves an H-1B, the consular visa still involves an appointment and review. Before leaving, consider possible administrative processing, the employer's attendance expectations, and entry requirements related to your nationality and background, and leave enough time to return.

IX. Family work authorization and green card planning

How H-4 spouses obtain work authorization

H-4 is the dependent status for H-1B workers. Eligible spouses, for example where the principal has an approved I-140 or qualifies for certain extensions tied to a green card case, can apply for an EAD. Continuing to work after the old card expires usually requires approval of the new card or other valid authorization.

Start green card planning before the sixth H-1B year

The H-1B is generally limited to six years. If an employment-based green card case has reached a certain stage, such as a PERM or I-140 pending for 365 days, or an approved I-140 where the visa bulletin prevents adjustment, an eligible worker can extend the H-1B beyond six years. When the green card process starts therefore directly affects whether the H-1B can keep being extended.

If you are preparing an H-1B petition, facing a job change or layoff, or planning to get a visa abroad, please contact our team and we will build a plan to keep your status on track.

This article is for general legal information only and is not legal advice for any individual case. Policies and litigation may change, and any application should be evaluated under the rules in effect at the time and the facts of the individual case.

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