The H-1B visa program has undergone two major updates, one in January and another in August. These changes affect international students, immigrant workers and the U.S. employers who depend on them.
The January updates make the H-1B process more predictable for workers and employers, while the August changes create new challenges. International students on F-1 visas will benefit from longer work authorization in America while awaiting H-1B visa approval. But, these students may also face more competition for jobs under the new proposed lottery system.
Employers may gain more flexibility to hire internationally through changes in the exemption process. They might also have to raise wages making it more difficult to hire entry level positions. These developments are reshaping how the U.S. competes for global talent.
International students at University Miami should be mindful of these changes as they will affect their employment opportunities in the U.S. after graduation.
The H-1B program allows employers to hire “nonimmigrant aliens” for a specialty occupation. A specialty occupation is temporary employment in the U.S. that requires highly specialized knowledge and usually a bachelor’s degree or above; typical examples include engineers, doctors or scientists. The F-1student visa gives non-immigrants the opportunity to be students at a U.S. institution such as a college.
On Jan. 17, changes to the H-1B program were imposed by the U.S. Citizenship and Immigration Services focusing on streamlining the approval process and improving job security.
One important provision that streamlines the process is that government organizations, nonprofit researchers, and universities can qualify for a cap exemption for their employees without having to show that research and education are their main focus. This cap exemption means that employers do not have to participate in the H-1B lottery and can file unlimited petitions for as many qualified workers as needed, making it easier to expand their hiring.
The January rule also increases the cap-gap protection for F-1 students moving to H-1B status allowing for improved future job security. F-1 students are foreign students attending or admitted to a U.S. university. They now receive up to six more months of authorization to work in the U.S. while waiting for H-1B approval.
Batt Mihawk, a junior mechanical engineering student and international student on an F-1 visa, is planning for future H-1B eligibility. He commented on the extended work authorization.
“Six more months of authorization helps foreign students attending universities pay for their living expenses while awaiting H-1B visa authorization,” he said.
Entrepreneurs also benefit. In the past, it was difficult for foreign nationals who owned a U.S. business to obtain H-1B visas because they were not considered employees. The new rule clarifies that entrepreneurs can qualify if they meet the basic H-1B requirements, regardless of company ownership.
In August, two vital changes were introduced. First, USCIS and the U.S. Department of State updated the policy for Child Protection Act (CSPA) age calculation. The new rule says that CSPA age will be based on the Final Action Dates chart.
In the past, visas could be obtained for CSPA applicants from either final action dates or dates for filings. The change reduces protection for children waiting a long time for green cards, since they will age out sooner once they turn 21. This applies to requests filed on or after August 15, 2025.
Second, the Department of Homeland Security (DHS) proposed a rule to change the H-1B lottery system. Currently, the lottery provides 85,000 visas each year to qualified individuals. The proposal would replace the random lottery with a weighted process that favors applicants with higher wages and advanced degrees.
If the proposal is approved, many employers may struggle to hire people at junior level salaries and may need to raise wages, increasing global recruitment costs. F-1 students and H-1B workers would also be affected, as the process would become more competitive and favor higher paid jobs.
Some of the rules are designed to make the program more predictable and easier to use, while others could make it more competitive and costly. Recent graduates currently on F-1 may welcome the January changes but likely be in opposition to the proposed weighted lottery system introduced in August.
These new proposed changes will impact international students by making it more difficult to get an entry level job in a stem related field and be disadvantageous to companies who offer lower wages, since it will reduce their selection rate. Overall, these changes have broad implications for both international students seeking a U.S. job and employers who hire them.