A recent report by the Government Accountability Office (GAO) suggests that the new US rule altering the selection process for H-1B work visas could result in economic benefits exceeding $20 billion from 2026 to 2035. However, there are concerns that the rule might be implemented faster than allowed by law. The GAO highlighted a potential timing issue under US legislation, noting that the effective date of the rule is less than 60 days from its receipt by Congress.
The GAO’s report pointed out that under the Congressional Review Act, major federal rules typically need to wait at least 60 days after publication or receipt by Congress before becoming effective. The rule in question was received on December 29, 2025, and published in the Federal Register on the same day. It was received by the House of Representatives on December 29, 2025, and by the Senate on January 5, 2026.
The rule, titled “Weighted Selection Process for Registrants and Petitioners Seeking To File Cap-Subject H-1B Petitions,” changes how the US Citizenship and Immigration Services selects H-1B registrations for visas subject to an annual cap set by Congress. This new process is designed to favor higher-skilled and higher-paid foreign workers, aligning the program with congressional intent while still allowing employers to hire H-1B workers at all wage levels.
According to the Department of Homeland Security (DHS), the rule is expected to bring total benefits of about $20.08 billion between fiscal years 2026 and 2035, with net benefits to the public estimated at nearly $19.78 billion during that period. The DHS also projected total transfers of approximately $34.34 billion over the next decade. The rule is seen to have a significant economic impact on a substantial number of small businesses, prompting the DHS to conduct a final regulatory flexibility analysis.
The DHS did not find the rule to include a federal mandate under the Unfunded Mandates Reform Act and thus did not prepare a separate statement under that law. The department received comments from various stakeholders, including US workers, companies, law firms, professional organizations, advocacy groups, nonprofit organizations, universities, healthcare providers, and trade and business associations, during the rulemaking process.
The H-1B visa program is crucial for skilled foreign professionals to work in the US, particularly for Indian nationals in fields like technology, engineering, and healthcare. Any changes to the visa selection process are closely monitored by Indian professionals in the US and those aspiring to work there.
