Every year, hundreds of thousands of college-educated foreigners compete for a chance to work in the US. With just 85,000 slots available, the odds are against them. H-1B visas are awarded not by merit but by lottery.
This random allocation never made much sense. For almost two decades, it’s imposed an inefficient and unpredictable standard that prevents employers from hiring the best candidates. And, to the detriment of aspiring visa holders and US workers alike, the lottery is far too easily gamed.
Congress established the H-1B visa in 1990 to help fill shortages for highly specialized jobs that require at least a bachelor’s degree. Employers — often in the technology sector — use it to draw the world’s best and brightest to the US. Many say H-1B workers are critical to maintaining American competitiveness with China.
The H-1B lottery system, intended to fairly distribute work visas to foreign professionals, has faced criticism for being easily manipulated. Some companies exploit the system by submitting multiple applications for the same candidate through different subsidiaries or related entities, increasing their odds of selection. This loophole not only undermines the integrity of the lottery but also disadvantages smaller companies and genuinely qualified candidates.
Potential Fixes for the H-1B Lottery:
- Limit Duplicate Applications: Enforce stricter rules to prevent multiple applications for the same individual, even if submitted by related companies. This could involve enhanced scrutiny of business relationships and application patterns.
- Tiered Lottery System: Prioritize applications based on certain criteria, such as the skill level, salary offered, or whether the employer is a startup or small business. This would ensure that the most qualified candidates and the companies most in need of talent have a better chance of securing visas.
- Transparency and Audits: Increase transparency in the lottery process and conduct regular audits to identify and penalize companies that attempt to game the system. This could include random checks and stricter penalties for violations.
- Cap Per Employer: Limit the number of H-1B visas that can be issued to any single employer or related group of companies in a given year. This would prevent larger firms from dominating the allocation.
- Employer-Employee Relationship Verification: Ensure that companies have a legitimate employer-employee relationship with the visa applicant, reducing the chances of shell companies being used to game the lottery.
Implementing these fixes could help restore fairness and integrity to the H-1B lottery system, making it more likely that visas go to the most deserving candidates and companies.