H-1B Registrations Collapse at Big IT Firms: What the FY2027 Numbers Show

H-1B registrations from the IT outsourcing and staffing companies grouped together in the September 18, 2026 presidential proclamation fell about 92 percent for the fiscal year 2027 cap, from 24,946 to 2,055, according to the figures stated in that proclamation. A Congressional Research Service Insight published October 14, 2026 reports that Cognizant, Infosys and Tata Consultancy Services, three of the largest registrants for FY2026, submitted 100, 91 and 95 percent fewer registrations for FY2027. Registrations are only entries in the lottery, not visas or hires, but the drop shows how sharply those employers pulled back.

The FY2027 lottery, run after the registration period closed on March 19, 2026, was the first under two major changes: a $100,000 payment requirement for certain new H-1B petitions, announced September 19, 2025, and a wage-weighted selection process that gives higher-paid positions more chances in the lottery. The proclamation attributes the shift to the combined effect of these policies. The CRS notes that the registration data alone does not establish which policy caused any company’s decision.

As of November 3, 2026, a federal court has vacated the USCIS guidance that implemented the original $100,000 payment, DHS has said it is complying with that order while it appeals, and the September 2026 proclamation that renews the payment for another 12 months is itself in litigation; whether USCIS is applying the renewed proclamation to a given petition depends on the court orders in force on the filing date. The weighted selection rule is in effect. Three further proposals (a per-petition fee of $103,265, revised prevailing wage levels, and the removal of mandatory deference to prior USCIS approvals) are pending but not final.

How far did H-1B registrations fall for FY2027?

The table shows the three employers the CRS identifies, with the registration counts reported from its data, and the combined figure for the IT outsourcing and staffing group as stated in the proclamation. The proclamation does not list every company in that group, so the combined row should be read as the government’s grouping, not a fixed list of named employers.

The overall registration pool also shrank, though by much less. USCIS reported 343,981 eligible registrations for FY2026. Figures reported from USCIS data for FY2027 put the total near 211,600, a decline of about 38 percent. USCIS posts registration statistics on its H-1B Electronic Registration Process page and its count of eligible registrations excludes duplicates, registrations deleted before the period closed, registrations denied for invalid passport information, and registrations with failed payments.

The mix of registrants changed too. According to the September 2026 proclamation, beneficiaries with a U.S. master’s degree made up about 66 percent of FY2027 registrations, up from about 45 percent the year before. The proclamation also states that job offers at the two highest wage levels accounted for about 46.3 percent of FY2027 selections, while offers at the lowest wage level accounted for 17.8 percent, and that the $100,000 payment had been made for more than 700 petitions during the 12 months after the September 2025 proclamation took effect.

What changed in the H-1B program before the FY2027 lottery?

Several rules changed between September 2025 and March 2026, and more changes have been proposed since. One is in effect, one is tied up in court, and three are proposals only. Nothing in the proposed rows applies to a petition today.

How the weighted lottery works

The weighted selection rule changed how the lottery works rather than who may register. When USCIS receives more registrations than it projects are needed to reach the cap, it groups all registrations for the same beneficiary and enters that beneficiary once, with the number of entries set by the OEWS wage level: one entry at Level I, two at Level II, three at Level III and four at Level IV. The registrant selects the highest OEWS wage level that the offered wage equals or exceeds for the occupation (SOC code) and area of intended employment.

Three qualifications matter. First, if the beneficiary will work in more than one location, or an agent registers the beneficiary for more than one position, the registrant must use the lowest corresponding wage level among those locations or positions. Second, if more than one employer registers the same beneficiary at different wage levels, USCIS assigns that beneficiary the lowest wage level among the registrations. Third, the rule contains separate instructions for an offered wage below OEWS Level I and for occupations or locations without current OEWS wage data; for example, a registrant whose offered wage is below OEWS Level I because it relies on another legitimate wage source is instructed to select Level I (one entry). These situations should be checked against the rule text and the registration instructions. If USCIS receives fewer registrations than it needs, it selects all properly submitted registrations.

Matching the petition to the registration

The petition filed after selection must be based on the selected registration and contain the same identifying and position information, including the same OEWS wage level, and the offered wage in the petition must equal or exceed the prevailing wage for that level. USCIS may, in its discretion, accept a petition with a different area of intended employment if the change is consistent with a bona fide job offer that existed at the time of registration. The wage level used for weighting can differ from the wage level on the Labor Condition Application (Form ETA-9035), because the LCA follows the Department of Labor’s separate required-wage rules; the petition must satisfy both. For FY2027, USCIS required petitioners to submit a copy of the selection notice, a copy of the passport or travel document used at registration, and evidence of the basis for the wage level selected as of the date the registration was submitted.

USCIS can deny or revoke a petition that is inconsistent with the registration. The rule also gives USCIS separate authority to deny or revoke a later new or amended petition filed by the petitioner or a related entity as part of an attempt to unfairly increase selection chances, including by reducing the wage to a lower level after selection.

Is the $100,000 H-1B payment still in effect?

The original policy and the renewal need to be read separately.

Proclamation 10973 (September 2025). On June 8, 2026, the U.S. District Court for the District of Massachusetts in State of California v. Mullin (1:25-cv-13829) vacated the USCIS guidance implementing the $100,000 payment requirement. The government appealed on June 11, 2026 and asked the First Circuit to stay the order; on July 24, 2026, the First Circuit denied that request. USCIS states on its H-1B pages that DHS will comply with the court’s order while it considers next steps, and that if the order is later lifted, DHS still plans to collect the payment. USCIS guidance issued in October 2025 had described the payment as applying to petitions filed at or after 12:01 a.m. Eastern on September 21, 2025 for beneficiaries outside the United States who did not hold a valid H-1B visa, and not to a petition requesting an amendment, change of status, or extension of stay for a person inside the United States where USCIS granted that request.

Proclamation 11069 (September 2026). On September 18, 2026, the President signed Proclamation 11069, which renews the restriction for a further 12 months. By its own terms, it restricts the entry of H-1B workers who are outside the United States, and the approval of petitions for them, unless the $100,000 payment accompanies the petition. The proclamation gives the Secretary of Homeland Security discretion to exempt an individual, all workers for a particular company, or all workers in an industry, where the Secretary finds the hiring is in the national interest and does not threaten the security or welfare of the United States. The renewed proclamation does not itself repeat the October 2025 guidance limitations, so the earlier scope statements should not be assumed to carry over unless USCIS applies them to the renewal. On September 30, 2026, in Global Nurse Force v. Trump (4:25-cv-08454), the U.S. District Court for the Northern District of California granted in part a motion for a preliminary injunction and blocked the agency policies used to implement the payment under both Proclamation 10973 and Proclamation 11069, pending notice-and-comment rulemaking. The court did not enjoin the proclamations themselves. The government appealed to the Ninth Circuit on October 9, 2026 and asked for a stay. Separately, in Chamber of Commerce v. DHS, the U.S. District Court for the District of Columbia upheld the payment in December 2025, and that decision is on appeal to the D.C. Circuit. Because these cases are on separate tracks, an appellate ruling in any of them could change whether the payment is collected.

The USCIS H-1B Specialty Occupations page continues to describe the payment mechanics (payment through pay.gov before filing, or evidence of an exception granted by the Secretary of Homeland Security), with an alert about the court order at the top.

Why did IT outsourcing firms pull back?

The government’s own explanation is the combined effect of the new policies. Proclamation 11069 states that it is reasonable to conclude the $100,000 payment and the weighted selection process together deterred low-wage recruitment while increasing access for higher-wage workers. The $100,000 payment made new petitions for workers abroad far more expensive, and the CRS reports that initial consular-processing petitions from cap-exempt employers fell 91 percent over the first eight months the payment was in effect. Wage-weighted selection gives fewer lottery entries to positions paid at the lower OEWS levels.

The CRS cautions that the data does not show which factor drove any single company’s choice, and that registrations are not equivalent to hires. Companies may also be using other visa categories, local hiring, or offshore delivery. Those business reasons are not in the government data and are not addressed here.

What does the shift mean for workers, students and employers?

The effects differ by where a person is in the process. The points below are general; how they apply depends on the specific petition and facts.

Workers already in H-1B status: Extensions of stay and change-of-employer petitions for a worker who has already been counted against the cap are not subject to the lottery, unless that worker has used the full six-year period and is not eligible for an extension beyond it. A change of employer requires a new Form I-129 petition. Under the portability rule (INA 214(n)), a worker who was lawfully admitted, whose new employer files a nonfrivolous petition before the worker’s authorized period of stay expires, and who has not worked without authorization since admission, may begin work for the new employer when USCIS receives that petition. The October 14, 2026 USCIS proposal, if finalized, would remove the regulation requiring adjudicators to defer to prior determinations in Form I-129 requests involving the same parties and facts; it would not bar officers from considering a prior approval, and it is not in effect.

F-1 students and recent graduates: A larger share of FY2027 registrations went to beneficiaries with U.S. master’s degrees, and selection odds now rise with the wage level of the offered position. Students on OPT should track their work authorization end dates against the lottery and petition timeline. Under 8 CFR 214.2(f)(5)(vi), a student in valid F-1 status who is the beneficiary of a timely filed H-1B petition requesting a change of status with an October 1 start date may qualify for the cap-gap extension. If the student’s OPT employment authorization is unexpired when that petition is filed, both F-1 status and employment authorization extend; if OPT has expired but the student is within the 60-day grace period, only F-1 status extends and the student may not work. Selection in the lottery alone does not trigger the extension, and a student whose registration is not selected does not receive it.

Workers abroad: New petitions for beneficiaries outside the United States are the ones the $100,000 policy targets. While the implementing guidance for the original proclamation has been vacated, the renewed proclamation is separately in litigation, so timing and the court orders in force on the filing date matter. Workers inside the United States should also plan travel carefully: leaving the country while a change of status request is pending is treated as abandonment of that request, and USCIS may still approve the underlying petition for consular processing. A worker in that position would then need a visa and admission, which is where the proclamation’s entry restriction and payment can become relevant. Review travel plans with counsel before departing while a change of status is pending.

Employers and HR teams: The registration must state the OEWS wage level, occupation and area of intended employment, and the later petition must match, subject to the limited discretion described above. The LCA must still meet the Department of Labor’s required-wage rules, which are separate from the weighting level. Pending proposals on a per-petition fee, prevailing wage levels and deference could change costs and planning for the next cap season, but none applies today.

Workers who were not selected: Other routes may be available depending on the person’s background, such as cap-exempt H-1B employment, O-1, L-1, or, for certain nationals, TN, E-3 or H-1B1. Each has its own requirements and none is automatic.

What should employers and workers watch before the FY2028 cap season?

USCIS announces the registration period each year. For FY2027, the registration period ran from noon Eastern on March 4, 2026 to March 19, 2026, the registration fee was $215 per beneficiary, and selection notices were sent by March 31, 2026, with petition filing opening April 1, 2026. USCIS has not announced the FY2028 dates or confirmed the FY2028 registration fee as of November 3, 2026.

The following items are pending and could change the rules before the next registration period; none has a known outcome:

1. The First Circuit appeal in State of California v. Mullin and the litigation over Proclamation 11069. A decision either way could change whether the $100,000 payment applies to FY2028 petitions for workers abroad.
2. The proposed $103,265 fee per cap-subject petition. DHS states that, if finalized, it would be in addition to the proclamation payment where both apply.
3. The proposed DOL prevailing wage levels. Higher Level I through IV thresholds would change which wage level an offered salary meets and therefore how many lottery entries a beneficiary receives.
4. The October 14, 2026 proposal to remove mandatory deference to prior USCIS determinations for Form I-129 requests, which has a 30-day comment period from publication.
5. The FY2028 registration dates and fee, which will be published on the USCIS H-1B Cap Season page.

Frequently Asked Questions

• Did H-1B registrations drop for FY2027?

  Yes. Registrations from the IT outsourcing and staffing firms grouped in the September 2026 proclamation fell about 92 percent, from 24,946 to 2,055. The overall pool also shrank: USCIS counted 343,981 eligible registrations for FY2026, and figures reported from USCIS data for FY2027 put the total near 211,600.

• Is the $100,000 H-1B fee still in effect?

  As of November 3, 2026, the District of Massachusetts has vacated the USCIS guidance implementing the original payment (June 8, 2026), the First Circuit denied the government’s stay request (July 24, 2026), the appeal is pending, and DHS has said it is complying with the order. The renewed proclamation signed September 18, 2026 extends the policy for 12 months; on September 30, 2026, the Northern District of California also blocked the agency policies implementing the payment under both proclamations, and the government has appealed. A separate D.C. federal court upheld the payment in December 2025, and that appeal is pending. Whether USCIS applies the payment to a particular petition depends on the court orders in force on the filing date, so check the USCIS H-1B pages and confirm with counsel before filing.

• How does the weighted H-1B lottery work?

  Since February 27, 2026, when registrations exceed the projected cap need, each unique beneficiary is entered once, with entries set by the highest OEWS wage level the offered salary equals or exceeds for the occupation and area of intended employment: one entry at Level I, two at Level II, three at Level III and four at Level IV. A beneficiary registered by more than one employer is assigned the lowest wage level among those registrations, and a position with multiple worksites uses the lowest wage level among them. The FY2027 lottery, completed by March 31, 2026, was the first run this way.

• Does the $100,000 payment apply to H-1B extensions or a change of employer?

  USCIS guidance issued in October 2025 for the original proclamation described the payment as applying to petitions filed on or after September 21, 2025 for beneficiaries outside the United States without a valid H-1B visa, and not to amendments, extensions or changes of status granted for a person inside the United States. The renewed September 2026 proclamation is written in terms of workers outside the United States and does not itself restate those limitations. Because the policy is in litigation and guidance can change, confirm the current position before filing.

• Does a smaller registration pool mean better odds of selection?

  Not necessarily. Selection depends on how many beneficiaries there are at each wage level, and the higher levels receive more entries. A smaller pool does not by itself raise the odds for a Level I position. USCIS publishes selection data after each lottery.

• Are H-1B registrations the same as approved H-1B petitions?

  No. A registration is an entry in the cap lottery. A selected registration still has to be filed as a petition that USCIS receives within the filing period printed on the selection notice, and then approved, and the worker still needs a visa or a change of status. Registration counts do not measure hires or the number of people working in H-1B status.

• What can I do if I was not selected in the FY2027 lottery?

  USCIS announced in July 2026 that it had received enough petitions to reach the FY2027 cap, and no second selection round has been announced. Depending on background and employer, other routes may include cap-exempt H-1B employment with an institution of higher education, a nonprofit entity that is related to or affiliated with such an institution under the regulatory affiliation standard, a nonprofit research organization, or a governmental research organization (8 CFR 214.2(h)(8)(ii)(F)); whether a position qualifies turns on the employer’s status and, in some cases, where the work is performed. Other options include O-1, L-1, or, for Canadian, Mexican, Australian, Chilean and Singaporean nationals, TN, E-3 or H-1B1. A worker may also be registered again in the next cap season.

• Can IT staffing and outsourcing companies still sponsor H-1B workers?

  Yes. No rule bars IT staffing or outsourcing companies from the program. Under the current regulations at 8 CFR 214.2(h), the petitioner must have a legal presence in the United States, be amenable to service of process, and have a bona fide job offer and a bona fide specialty occupation position available as of the requested start date; it must also file a certified Labor Condition Application and pay the required wage. Where the worker will be placed with a third party, USCIS looks to that third party’s requirements for the position in deciding whether it is a specialty occupation.

• Can an employer register at a higher wage level to get more lottery entries and then pay less?

  No. The petition must match the registration’s wage level, and for FY2027 USCIS required evidence of the basis for that wage level as of the registration date. A petition that does not support the registered wage level is at risk of denial, a selection based on a false registration can be invalidated, and the rule separately allows USCIS to deny or revoke a later new or amended petition filed by the petitioner or a related entity to reduce the wage as part of an attempt to unfairly increase selection chances.

• Does the $100,000 payment affect the H-1B registration fee?

  No. The registration fee for FY2027 was $215 per beneficiary and is separate from the proclamation payment. USCIS stated that the proclamation does not directly affect the registration process; where it applies, the payment is a condition of eligibility for the petition filed after selection.