 "Immigration experts noted that H-1B filings dipped significantly compared to 2025, with many employers choosing not to participate this year. File image/Reuters")
H-1B visa registrations may dip sharply for FY2027, with filings estimated to be 30 per cent to 50 per cent lower compared with 2025, immigration experts said.
The fall in registration is linked to a more cautious approach by employers this year, as many chose not to file due to higher visa fees and uncertainty surrounding changes to the lottery system.
The initial registration period for the fiscal year 2027 H-1B cap, which opened from March 4 2026, was closed on March 19, 2026.
Fall in H-1B visa registrations for FY2027?
The number of filings during the registration window has declined sharply.
The registration period for the FY2027 H-1B cap season began at 12:00 pm Eastern Time (ET) on March 4, 2026, and closed at around 12:00 pm ET on March 19, 2026. The financial year for the US Citizenship and Immigration Services (USCIS) begins on October 1.
Once the initial registration period is closed, the selection process begins. Hence, USCIS will now conduct the H-1B selection process , picking unique beneficiaries based on properly submitted electronic registrations.
Immigration experts noted that filings dipped significantly compared to 2025, with many employers choosing not to participate this year.
Economic Times spoke to Shilpa Malik, managing attorney at VisaNation Law Group, who asserted that she witnessed a 50 per cent decline in filings from last year, while other attorneys the publication spoke to put the decline at roughly 30 per cent.
What are the shifts in the registration process?
Experts pointed to the notable rise in participation by small-to midsize firms.
“Previously, these companies were often discouraged by the diluted odds created by large outsourcing firms. Now that the playing field is level, they feel they have a legitimate, fair shot at securing talent,” ET quoted Malik as saying.
This time, employers focused on higher-paying job applications to maximise their chances of getting selected in the H-1B process.
Experts also noted that Master’s degree holders in the United States stand to gain. “Between the Master’s cap and the structural shift toward higher-skilled, higher-compensated roles, these applicants are in the strongest position they have been in years, possibly ever," Mailk added.
Joel Yanovich, senior attorney at Ganey Law Group, said that demand for high-skilled talent remained resilient. “The market isn’t shrinking; it’s just becoming more intentional,” he added, the publication reported.
Are IT firms & start-ups most affected?
Large IT outsourcing firms and start-ups that primarily dominated H-1B filings have been the hardest hit by the decline.
Immigration.com founder Rajiv Khanna explained that startups seeking freshers or first-stage workers at lower wages are not competitive enough in the current system. Khanna mentioned that industries that traditionally pay less than others, such as the not-for-profit sector, are also less competitive.
Khanna added, “All these sectors are unevenly weighed in the wage-based system,” he pointed out. His firm saw a 30 per cent decline in the number of applications," the report noted.
Meanwhile, participation of small and mid-sized companies has risen as they are ready to offer higher wages to skilled employees and benefit from reduced competition.
To which Mailk added, “Previously, these companies were often discouraged by the diluted odds created by large outsourcing firms. Now that the playing field is level, they feel they have a legitimate, fair shot at securing talent,” as quoted by Moneycontrol.
No second cap, what lies ahead now?
Seeing the decline, experts think that it is unlikely to be a second cap round. The term “second cap” refers to a second filing window opened by the USCIS in the same year if the H-1B quota is not met.
According to Xiao Wang, founder and CEO of Boundless Immigration, even if the overall selection numbers are likely to be lower, there would be no need for a second round of selection this year.
“What will drive the need for a second round would be any additional changes in immigration rules or world events that could reduce employers’ appetite to file an application,” he said, as quoted by ET.
Each year, the United States issues 85,000 H-1B visas, including 65,000 for speciality occupations and another 20,000 reserved for applicants with a US master’s degree or higher.
In FY2026, the USCIS received 336,153 eligible registrations. Selected applicants for FY2027 are expected to be notified by March 31, 2026, through USCIS online accounts.
The sharp decline in registration reflects the broader shift in the H-1B ecosystem. With many fillers pulling back, the revised system is creating further space for smaller employers and skilled candidates.
With inputs from agencies