October 13, 2025
CATEGORY: Visas
The H-1B visa process has always been bureaucratic, but the 2025 changes pushed it into chaos. Overnight, employers and skilled workers were told a six-figure payment now stood between them and eligibility. The rules weren’t clear, agencies scrambled for guidance, and lawsuits followed.
Beneath the noise, the fundamentals of the visa haven’t changed—but how it’s awarded, paid for, and enforced has. An immigration attorney from the American Immigration Law Group can help you understand and explore the process. Call 314-416-8000 to schedule your consultation.
The H-1B allows U.S. employers to hire foreign nationals in specialty occupations that require at least a bachelor’s degree or its equivalent. It’s valid for three years, extendable to six, with 65,000 visas issued annually and 20,000 more for U.S. master’s degree holders. It’s one of the few “dual-intent” visas, meaning holders can pursue permanent residence while working.
The current administration has announced the process has been updated to get a visa. Some of the changes include:
As of September 21, 2025, any new H-1B petition must include a $100,000 payment. The rule doesn’t apply to renewals, travel, or petitions filed before that date, but it captures all new filings, including the upcoming 2026 lottery.
The administration says it discourages “system gaming” and protects U.S. workers. Critics say it prices out smaller employers, nonprofits, and startups—the very groups that depend on H-1Bs for critical talent.
The system now counts unique beneficiaries instead of registrations submitted by multiple employers. This “beneficiary-centric” model prevents duplicate filings meant to boost odds, but it also changes strategy. Only one registration per person counts, and weighting is being tested to favor higher wages and advanced credentials.
The Department of Labor’s Project Firewall added active auditing of wage levels and hiring practices. Expect closer attention to Labor Condition Applications, notice postings, and pay disparities between foreign and domestic staff.
Rulemaking is underway to tilt selection toward higher-paid, higher-skilled positions. It’s meant to ensure H-1Bs go to “the best of the best,” but it also complicates compliance: employers must justify that offered wages meet or exceed prevailing rates for the specific occupation and location.
These changes have just gone into effect, so the true repercussions haven’t been realized yet. However, you can expect to feel some of the changes as an employer, as an applicant, or if you are part of a cap-exempt entity.
Any company filing after the effective date must budget for the new payment, review job classifications, and prepare for possible audits. Startups and mid-size firms will feel the cost pressure first.
Existing H-1B holders keep their status, but new applicants face fewer slots and tighter scrutiny. Dual registration by multiple employers is no longer an advantage. Degrees, coursework, and experience need airtight alignment with the job description.
Universities, research institutions, and nonprofit organizations are still cap-exempt, but they’re not exempt from the new compliance environment. Whether they’ll owe the $100,000 payment remains unclear until agencies issue final clarifications.
The process still starts with a U.S. employer filing a certified Labor Condition Application, then submitting Form I-129 with supporting evidence. Approved petitions still move to consular processing or status change, and family members still qualify for H-4 visas.
The underlying statutory caps and duration limits remain intact.
Each error now carries heavier consequences—financial, legal, and procedural.
Immigration issues are complex, and the rapidly changing process for getting a H-1B visa only makes things more challenging. An immigration attorney can protect your chances at getting an H-1B visa, and they can help you avoid any unexpected consequences.
An attorney can refine job descriptions, pick the correct SOC codes, and build a wage strategy that improves both compliance and selection odds.
Lawyers handle degree equivalency, expert opinions, and project documentation that satisfy USCIS scrutiny and DOL standards. They also track court rulings and interim guidance that can shift requirements mid-cycle.
If cost or selection odds make H-1B infeasible, counsel can identify cap-exempt roles, concurrent employment structures, or alternate categories like O-1, TN, or STEM OPT.
With audits increasing, legal oversight limits exposure to back pay, fines, or debarment from the program.
While the situation evolves and court cases proceed, it’s best to use caution. Protecting your future and your family is paramount.
Small and early-stage companies often operate with thin capitalization and less formal internal structures, which makes H-1B scrutiny sharper. USCIS and the Department of Labor will examine whether the employer has sufficient operating capital to pay the required wage for the full visa term. They may also question whether the job itself is a “specialty occupation” or simply a generalist role wrapped in technical language.
Startups frequently rely on hybrid job titles—roles that mix engineering, operations, and product work. Those positions need to be carefully documented to prove that the duties require specialized knowledge consistent with a relevant degree field. Supporting evidence can include investor funding documents, organizational charts, client contracts, and proof of ongoing projects. Without those, USCIS can deny for lack of employer viability or specialty occupation nexus.
A lawyer can structure filings to highlight business legitimacy, connect duties to degree requirements, and preempt questions about financial capacity.
Cap-exempt employers—universities, affiliated nonprofits, and research entities—have historically enjoyed more flexibility in filing H-1Bs. However, cap exemption does not equal exemption from compliance. They must still meet prevailing wage and posting requirements, and the 2025 policy changes have raised new questions about whether the $100,000 payment applies when the petition isn’t counted against the annual cap.
Until definitive agency guidance is issued, universities and research organizations are operating in a gray zone. They should document their cap-exempt status under 8 C.F.R. §214.2(h)(8)(ii)(F)(2) and budget contingently in case the new fee is applied across the board. Counsel can help prepare exemption memoranda, cross-reference prior USCIS guidance, and monitor any interim instructions to consular posts or the Department of Labor.
Hospitals, charitable organizations, and religious institutions often rely on H-1Bs for physicians, therapists, and other professionals. These employers face two unique challenges. First, many are structured as nonprofit entities affiliated with universities or research arms, so their cap-exempt status depends on maintaining that affiliation in compliance with federal definitions. Second, the recent proclamation’s language doesn’t clearly carve out exceptions for nonprofit or mission-driven entities.
The result is confusion over whether the $100,000 payment applies to new hires in nonprofit hospitals or research facilities. Some may qualify for the exemption, others may not. Lawyers are watching for interim USCIS guidance, but employers in this space should be prepared to pay—or delay filings—until clarity arrives. In the meantime, compliance with wage postings and recordkeeping remains critical, as DOL enforcement has already targeted hospital systems for LCA violations.
The ripple effect of H-1B changes extends to dependents. Spouses and unmarried children under 21 enter under H-4 status. For many, particularly spouses with H-4 EAD work authorization, processing delays or confusion around the principal’s status can cause employment gaps.
If the principal’s H-1B petition is delayed or caught in administrative review, the family’s H-4 renewals can stall too. Early renewal filing, careful timing of travel, and tracking USCIS processing times have become essential. An attorney can coordinate dependent filings, confirm H-4 eligibility under evolving policy, and preserve work authorization through extensions or alternative visa routes where possible.
Employers can be just as concerned and confused as applicants. While they want to hire the best and brightest, many employers are also looking to protect themselves from scrutiny or prosecution.
Concurrent employment—when one H-1B worker holds valid status and a second employer files to add an additional part-time or separate position—sits in a gray area. USCIS has not issued explicit guidance on whether the payment applies to concurrent filings.
A conservative interpretation is that any “new petition” after September 21, 2025, triggers the fee. Until further clarification, employers filing concurrent petitions should budget for the payment and flag the issue in cover letters or legal memoranda to preserve arguments for refund if later exempted.
Under the beneficiary-centric registration model, USCIS counts each individual foreign national once, regardless of how many employers submit registrations for them. The goal is to prevent multiple companies from flooding the lottery with duplicate entries for the same worker.
Employers must attest that they have a bona fide intent to hire the beneficiary and cannot coordinate with others to inflate odds. Once a beneficiary is selected, multiple employers may still file petitions, but each petition must stand on its own merits with proper wage levels and documentation.
USCIS has proposed, but not yet finalized, a weighted lottery favoring higher-paid or higher-skilled positions. The Department of Labor’s planned prevailing wage adjustments and Project Firewall audits suggest that the trend is clear: higher wages reduce risk and may improve selection once the weighting rule is formalized.
Even before final adoption, offering wages above the Level 1 baseline strengthens both selection optics and RFE resistance. Employers should use current wage data from the Foreign Labor Certification Data Center and match the offered wage to the duties and location.
No explicit exemption has been issued. USCIS and DHS have authority to clarify exemptions, but current language from the September proclamation applies broadly to “any new H-1B petition.”
Cap-exempt employers should maintain documentation of their exempt status, monitor agency FAQs, and consider delaying filings if the budget impact is unsustainable. Legal advocacy groups and several universities have already joined litigation challenging the proclamation’s scope, which could result in temporary relief or injunctions.
Project Firewall centralizes DOL enforcement against wage manipulation and documentation lapses. Employers found willfully violating H-1B conditions can face civil money penalties, repayment of back wages, and multi-year disqualification from filing future H-1Bs.
Even minor administrative errors—such as failing to post LCA notices electronically or missing public access file components—can trigger investigations. Maintaining a compliance calendar, documenting postings, and auditing records quarterly are now baseline risk management steps.
The H-1B system didn’t just get more expensive—it got riskier. Employers now face six-figure fees, deeper audits, and a lottery that rewards precision over volume. Skilled foreign workers face a smaller, more selective path. Legal strategy has become as essential as the petition itself. That’s why calling an immigration attorney with American Immigration Law Group is one of the best ways to protect your chances at selection. We understand how confusing the legal landscape is surrounding immigration in general, and we’re here to help you navigate the process to getting a H-1B Visa.
Call 314-416-8000 or fill out our contact form to get started.