Modification of Registration Requirement for Petitioners Seeking To File H-1B Cap-Subject Petitions

The Department of Homeland Security (DHS) has published a final rule that withdraws the Modification of Registration Requirement for Petitioners Seeking to File Cap-Subject H-1B Petitions final rule, also known as the H-1B Selection Final Rule, issued Jan. 8, 2021. The California Northern District Court vacated the H-1B cap “highest paid” lottery rule, finding that that former acting Secretary of Homeland Security Chad Wolfe was not legally appointed to that position, and therefore had no authority to issue it.

The final rule would have modified how USCIS managed the H-1B cap-subject registration requirement "by generally first selecting registrations based on the highest Occupational Employment Statistics (OES) prevailing wage level that the proffered wage equals or exceeds for the relevant Standard Occupational Classification (SOC) code and area(s) of intended employment." Currently, cap-subject registrations received during the registration period are counted in a random selection process.

What Happened to the 2021 Wage-Based Rule

The 2021 wage-based H-1B selection rule was vacated by a federal court on September 15, 2021, and DHS officially withdrew it on December 22, 2021 USCIS. Your document correctly describes this - the rule was never implemented.

Current Status (December 2025)

However, there's an important new development:

In September 2024, DHS published a new proposed rule to implement a weighted (not ranked) selection process that would favor higher-wage applicants while still maintaining opportunities for lower-wage workers Federal Register. This is different from the 2021 rule.

Key Differences from the 2021 Rule:

  • 2021 Rule (withdrawn): Would have ranked registrations strictly by highest wage levels, essentially eliminating lower-wage selections

  • 2025 Proposed Rule: Would assign weights to registrations based on wage levels, giving higher-paid positions better odds while not completely precluding lower-wage applicants

Current H-1B Selection Process

The current system uses a beneficiary-centric random selection process implemented in March 2024, where each unique beneficiary has equal chances regardless of how many registrations are submitted on their behalf Littler.

Bottom line: Your document is still factually correct about the 2021 rule being withdrawn, but you may want to add that DHS has since proposed a new weighted selection approach in 2024 that is still under review as of December 2025.

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