Why Are H-1B Visa Registrations Dropping for FY 2026?

Recent data has shown a notable decrease in the number of H-1B visa registrations for the fiscal year 2026. While it may seem like fewer employers and beneficiaries are interested in the H-1B route, the change is likely due to a shift in the registration process rather than a dip in demand.

The Numbers Behind the Decline
For FY 2026, U.S. Citizenship and Immigration Services (USCIS) confirmed that it received enough registrations to meet the H-1B cap, including the advanced degree exemption. A total of 118,660 unique beneficiaries were selected, resulting in 120,141 selected registrations in the initial selection process.

However, a closer look at the data shows a significant decline in the total number of registrations and eligible beneficiaries compared to the previous year. In FY 2026, there was a 23% drop in the number of eligible unique beneficiaries—approximately 339,000 compared to 442,000 in FY 2025. Similarly, the number of eligible registrations fell by 26.9%, from 470,342 in FY 2025 to 343,981 in FY 2026.

The Beneficiary-Centric Selection Process
The primary reason for the decrease in H-1B registrations for FY 2026 is the implementation of the beneficiary-centric selection process. Under the previous system, the selection was based on the number of registrations submitted, which allowed certain employers to submit multiple registrations for a single beneficiary to increase their chances of selection. However, the new system changes this by selecting registrations based on unique beneficiaries rather than individual registrations.

Now, each beneficiary is only entered into the lottery once, no matter how many registrations are submitted on their behalf. If a beneficiary is selected, all parties who registered that beneficiary will be notified and can file a petition for them. This change is designed to reduce the potential for "gaming" the system, ensuring that every beneficiary has an equal chance, regardless of how many registrations are submitted for them.

Impact of Increased Fees
Another factor contributing to the reduced number of H-1B registrations is the increase in registration fees, which went up from $10 to $215. This fee hike may have deterred some employers or agencies from submitting multiple registrations, especially given the changes in the selection process.

Reduced Attempt to "Game" the System
USCIS believes that the new beneficiary-centric process, coupled with the fee increase, has been successful in reducing the number of applicants attempting to gain an unfair advantage by submitting multiple registrations for the same beneficiary. The average number of registrations per beneficiary has dropped to 1.01 in FY 2026, compared to 1.06 in FY 2025, suggesting that fewer registrations were submitted on behalf of each beneficiary.

Moreover, at the time of registration, each employer must sign an attestation confirming that the registration reflects a legitimate job offer and that there is no coordinated effort to unfairly increase the chances of selection.

Employers Still Interested in H-1B
Despite the decline in the number of registrations and beneficiaries, the number of employers participating in the H-1B process remains relatively consistent. About 57,600 employers submitted registrations for FY 2026, compared to 52,700 in FY 2025. This indicates that U.S. companies are still eager to hire skilled foreign workers, but the new process and fee structure have likely influenced the overall number of submissions.

#trending #latest