# How the H-1B program works

> https://www.xh1b.org/learning/course/the-program

## How the H-1B program works

How the H-1B visa is meant to work: the cap, the lottery, the Labor Condition Application, and the four legal promises each employer makes. Plus the weaknesses.

## How the H-1B program works

How the H-1B program is meant to work: the cap, the lottery, the Labor Condition Application, and the four legal promises every employer makes when it files. Then the five places where the rules themselves leave room that violations use.

## The purpose

A U.S. company needs to fill a job that requires a specialized education: a software architect, a cancer researcher, a forensic accountant. The H-1B lets that company hire a foreign professional for that job. The professional can be in the U.S. or abroad. Two conditions apply. The job must require a bachelor’s or higher degree in a directly related specific specialty, or its equivalent. The worker must be paid at least the required wage: the higher of what the employer actually pays similar workers at that site, or the DOL prevailing wage for the occupation and area. Most H-1B petitions do not require the PERM recruitment test. Covered H-1B-dependent and willful-violator employers have additional recruitment and non-displacement duties for non-exempt workers. The rules rest on the four promises below instead. For a shorter definition, read [What Is the H-1B Visa?](/learning/what-is-h1b-visa). [1](#reference-courseTheProgram-h1b-petition) [2](#reference-courseTheProgram-required-wage) [3](#reference-courseTheProgram-recruitment-rule) [4](#reference-courseTheProgram-displacement-rule)

The employer can petition for a qualifying specialty occupation. Initial approval can cover up to three years. The normal total limit is six years, with specified exceptions. These are petition and stay limits; they do not guarantee a six-year visa stamp or permanent residence. An employer can separately sponsor a qualifying green-card case. [5](#reference-courseTheProgram-immigrant-petition)

H-1B permits dual intent. Pursuing permanent residence does not by itself defeat H-1B eligibility. Permanent-residence filings, visa availability, and any change of job have their own conditions. Employer-level records cannot show an individual worker’s full path.

Additional recruitment and non-displacement attestations generally concern covered employers’ non-exempt H-1B workers. The statute defines an exempt worker as one paid at least $60,000 a year or holding a related master’s or higher degree, or its equivalent. A low wage level or a layoff near a filing does not alone establish that these attestations apply or were violated. [21](#reference-courseTheProgram-ina-nondisplacement)

## The process, start to finish

### The cap

The regular annual H-1B cap is **65,000**, with an exemption for up to **20,000** qualifying U.S. advanced-degree beneficiaries. Certain higher-education institutions and related nonprofits, nonprofit research organizations, and government research organizations have separate cap exemptions. Each exemption has conditions. [6](#reference-courseTheProgram-ina-h1b-cap)

### The lottery

Demand exceeds the cap in most recent seasons. USCIS selects unique beneficiaries when it needs to limit filings. From FY2027, the draw favors higher wage levels for the occupation and area. It is not a test of an employer’s honesty. Cap-exempt employers file outside the draw. Read the [lottery guide](/learning/h1b-lottery) for the selection rules. [7](#reference-courseTheProgram-registration) [8](#reference-courseTheProgram-weighted-selection)

### The Labor Condition Application (LCA)

Before the visa petition goes to USCIS, the employer files an LCA with the Department of Labor. The LCA is the central document of the program. It lists the job, the worksite, the wage, and the four promises the employer makes (below). Each LCA is a public record. [Search this site’s database](/leaderboard) of those filings from any employer page. [9](#reference-courseTheProgram-lca-attestations) [10](#reference-courseTheProgram-lca-data) [11](#reference-courseTheProgram-public-access-file)

### The prevailing wage

The employer must promise the higher of its actual wage for comparable workers or the prevailing wage for the job and area. Permitted prevailing-wage sources include an applicable collective bargaining agreement and qualifying surveys. OFLC's survey guidance uses four wage levels based on job requirements. The employer must support the source and level it uses. The BLS median on this site is a separate benchmark. [12](#reference-courseTheProgram-wage-guidance) [13](#reference-courseTheProgram-bls-data)

## The four legal promises

The LCA contains four main attestations under 20 CFR 655.731–655.734. The wage promise and the notice requirement each have specific conditions.

### Pay the required wage.

Pay the higher of the prevailing wage for the job and area or the actual wage for comparable workers. Required pay continues during employer-caused nonproductive time. Certain voluntary absences have different rules under 20 CFR 655.731.

### Do not harm working conditions.

The hire must not lower the pay or the conditions of U.S. workers in the same job at the same site. [14](#reference-courseTheProgram-working-conditions)

### No strike or lockout.

At the time of filing, there must be no strike or lockout resulting from a labor dispute in the occupation at the place of employment. [15](#reference-courseTheProgram-labor-dispute)

### Give notice.

Notify the bargaining representative, or give the required worksite notice, on or within 30 days before filing. Notice states the proposed employment and wages. It does not prove that the worker was hired. Physical or shared electronic notices normally remain available for 10 days. [16](#reference-courseTheProgram-lca-notice)

## The weaknesses

These are five issues the site asks readers to inspect. They are the site’s reading of the program, not a measured ranking of violations or an adjudicated finding.

**Enforcement has several routes.** Complaints can trigger DOL investigations. The regulations also permit specified credible-source, random, and Secretary-initiated investigations (20 CFR 655.806–655.808; 8 USC 1182(n)(2)(G)). Public disclosure files do not measure how many violations go unreported. [17](#reference-courseTheProgram-enforcement-authority) [18](#reference-courseTheProgram-enforcement-other-routes)

**Registration volume still matters.** Since FY2025, USCIS counts each beneficiary once toward the cap, regardless of the number of employers that register them. From FY2027, wage level also changes the odds. Registering more distinct candidates can yield more selections, but duplicate employers do not give one person extra chances.

**The wage benchmark matters.** A prevailing-wage level can be below an occupation’s median. That gap does not alone prove unlawful pay. The required wage also accounts for the employer’s actual wage for comparable workers. Job requirements, experience, and location affect the comparison.

**Visa dependence gives the employer leverage.** After employment ends, an eligible worker may receive a discretionary grace period of up to 60 days or until the authorized stay ends, whichever is shorter (8 CFR 214.1(l)). A timely eligible change of employer or status can offer another path. These deadlines can put pressure on the worker. [19](#reference-courseTheProgram-grace-period)

**Third-party staffing needs a closer record check.** A staffing petitioner can propose employment at a client site. The LCA identifies the employer and worksite fields. Those fields do not by themselves identify who supervised the worker or prove that the petitioner met every obligation.

## How this site fits

This site does not allege fraud. It publishes the public records. The records are the LCAs, the WARN layoff notices, the wage data, and the willful-violator labels. It also publishes the matching logic that connects them. This makes the patterns visible to anyone. The rest of this portal teaches you what those patterns look like.

Fig. 1

Labor condition applications filed per year, from the live archive.

You know the rules now. Lesson 2 names the five ways they break.

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## Record scope and common questions

| Fact | Value |
|---|---|
| Annual cap | 85,000 |
| Legal promises | 4 |
| Rule weaknesses | 5 |
| Visa term | 3+3 yrs |

Read the rules in the references below. Use the national filing trend and employer pages to inspect disclosure records. These files do not establish actual payroll or an individual immigration decision.

## How many H-1B petitions are filed each year?

The cap limits new cap-subject H-1B cases, with a 65,000 regular cap and a 20,000 U.S. advanced-degree exemption. LCAs are different: one application can request several positions and cover a period of up to three years. An extension can use a still-valid prior LCA. The chart counts DOL disclosure filings, not petitions or hires. [20](#reference-courseTheProgram-lca-validity)

## Where does the data on this site come from?

The lessons use public government disclosure files, including DOL OFLC applications, BLS estimates, state WARN notices, and contract records. Read the cited dataset and calculation methods. Source periods, missing files, and matching limits affect coverage.

## Is the H-1B program a lottery?

For cap-subject cases, employers register candidates before they may file petitions. USCIS selects unique beneficiaries when demand exceeds the cap. From FY2027, higher wage levels receive more entries in the draw. A selection is permission to file, not proof that a worker arrives. This site measures DOL filings, offered wages, and linked public records.



## References

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<a id="reference-courseTheProgram-h1b-cap"></a>
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1. Law or rulemaking · eCFR. [8 CFR 214.2](https://www.ecfr.gov/current/title-8/section-214.2). 8 CFR 214.2(h)(2)(i)(A), (D)–(E); (h)(4)(i)(B), including (B)(3) third-party requirements; (h)(9)(i); (h)(10)(ii), (iv); (h)(18): petition, LCA, approval and denial notices; 8 CFR 214.2(h)(13); 8 CFR 214.2(h)(9)(iii); 8 CFR 214.2(h)(16); 8 CFR 214.2(h)(8); 8 CFR 214.2(h)(2)(i)(H); 8 CFR 214.2(h)(15)(ii)(B). Petition approval, visa issuance, admission, and work authorization are separate steps.; The normal six-year limit has recapture, AC21, and other specified exceptions.; The regular cap, advanced-degree exemption, employer exemptions, and prior cap counting have distinct conditions.; Read the eligibility conditions, start date, denial rule, and successive-petition provisions. Checked 2026-10-17.

<a id="reference-courseTheProgram-required-wage"></a>
<a id="reference-courseTheProgram-bench-pay"></a>

2. Law or rulemaking · eCFR. [20 CFR 655.731](https://www.ecfr.gov/current/title-20/section-655.731). 20 CFR 655.731(a); 20 CFR 655.731(c)(7). The required wage is the higher of the actual wage and prevailing wage. An independent market median is a comparison, not this legal test.; Employer-caused nonproductive time and qualifying voluntary or unrelated absences have different rules. Checked 2026-10-08.

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3. Law or rulemaking · eCFR. [Additional recruitment obligations](https://www.ecfr.gov/current/title-20/section-655.739#p-655.739(a)). 20 CFR 655.739(a). This obligation applies to covered H-1B-dependent or willful-violator employers and non-exempt H-1B workers. Checked 2026-10-08.

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4. Law or rulemaking · eCFR. [Additional non-displacement obligations](https://www.ecfr.gov/current/title-20/section-655.738#p-655.738(a)). 20 CFR 655.738(a). H-1B-dependent and willful-violator employers have additional obligations, subject to exemptions. A WARN match is not the legal test. Checked 2026-10-08.

<a id="reference-courseTheProgram-immigrant-petition"></a>

5. Law or rulemaking · eCFR. [Employment-based immigrant petitions and self-petition exceptions](https://www.ecfr.gov/current/title-8/section-204.5). 8 CFR 204.5(a), (c), (h), (k)–(l) and (n): petitioners, classification, labor-certification exceptions and petition decisions. The usual employer-sponsored route differs from qualifying extraordinary-ability and national-interest-waiver cases. Checked 2026-10-18.

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6. Law or rulemaking · U.S. Congress / Government Publishing Office. [INA 214(g): H-1B numerical limits and exemptions](https://www.govinfo.gov/content/pkg/USCODE-2024-title8/html/USCODE-2024-title8-chap12-subchapII-partII-sec1184.htm). 8 USC 1184(g)(1), (4)–(8). U.S. Code, 2024 edition. Includes the regular cap, qualifying advanced-degree exemption, prior counting, and Chile/Singapore set-asides. Checked 2026-10-08.

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7. Guidance · USCIS. [H-1B Electronic Registration Process](https://www.uscis.gov/working-in-the-united-states/temporary-workers/h-1b-specialty-occupations/h-1b-electronic-registration-process). FY2027 dates, beneficiary-centric selection, duplicate registrations, and FY2026 statistics. Season statistics have a different denominator from unique beneficiaries. Check the current agency page for updates.

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8. Law or rulemaking · DHS. [Weighted Selection of Registrants and Petitioners for the H-1B Cap](https://www.govinfo.gov/content/pkg/FR-2025-12-29/html/2025-23853.htm). 90 FR 60864; final rule, effective February 27, 2026; amended 8 CFR 214.2(h)(8)(iii). FY2027 weighting, lowest wage level across registrations and worksites, and registration fields. Checked 2026-10-12.

<a id="reference-courseTheProgram-lca-attestations"></a>

9. Law or rulemaking · eCFR. [Labor Condition Application contents](https://www.ecfr.gov/current/title-20/section-655.730#p-655.730(d)). 20 CFR 655.730(c): application fields; 655.730(d)(1)–(4): wage, working-condition, strike/lockout and notice attestations. Checked 2026-10-17.

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10. Dataset documentation · DOL OFLC. [LCA public disclosure record layout (FY2026 Q3)](https://www.dol.gov/sites/dolgov/files/ETA/oflc/pdfs/FY26Q3/LCA_Record_Layout_FY2026_Q3.pdf). Pages 1–4: application, DOL outcome and dates, requested positions, employer, representatives, worksites and pay units. This layout covers determinations issued October 1, 2025 through June 30, 2026. It documents employer-provided application fields and DOL decisions, not USCIS decisions, payroll verification, legal bills or worker-linked moves. Older layouts can differ. Checked 2026-10-17.

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11. Law or rulemaking · eCFR. [Public access and recordkeeping](https://www.ecfr.gov/current/title-20/section-655.760#p-655.760(a)). 20 CFR 655.760(a). Checked 2026-10-08.

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12. Guidance · DOL OFLC. [Prevailing Wage Determination Policy Guidance](https://www.dol.gov/sites/dolgov/files/eta/oflc/pdfs/npwhc_guidance_revised_11_2009.pdf). Revised November 2009; Level I through Level IV definitions; Appendix C, wage-level worksheet. Checked 2026-10-08.

<a id="reference-courseTheProgram-bls-data"></a>

13. Dataset documentation · BLS. [OEWS technical notes (May 2025)](https://www.bls.gov/oes/2025/may/oes_tec.htm). Scope of the survey; occupational coding; concepts and estimation methodology. Documents occupation and geographic wage estimates, not an individual worker’s pay. Use the estimate year and geography stated by the site; older releases can differ. Checked 2026-10-17.

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14. Law or rulemaking · eCFR. [Working-condition attestation](https://www.ecfr.gov/current/title-20/section-655.732#p-655.732(a)). 20 CFR 655.732(a). Checked 2026-10-08.

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15. Law or rulemaking · eCFR. [Strike and lockout attestation](https://www.ecfr.gov/current/title-20/section-655.733#p-655.733(a)). 20 CFR 655.733(a). Checked 2026-10-08.

<a id="reference-courseTheProgram-lca-notice"></a>

16. Law or rulemaking · eCFR. [Notice to workers](https://www.ecfr.gov/current/title-20/section-655.734#p-655.734(a)). 20 CFR 655.734(a). The timing and physical, electronic, and bargaining-representative notice rules differ. Checked 2026-10-08.

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17. Law or rulemaking · eCFR. [Complaints and investigation authority](https://www.ecfr.gov/current/title-20/section-655.806#p-655.806(a)). 20 CFR 655.806(a). Complaint rules. Separate routes include credible-source, random, and Secretary-certified investigations, each with conditions. Checked 2026-10-08.

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18. Guidance · DOL. [H-1B Advisor: Investigation Authority](https://webapps.dol.gov/elaws/h1b/re1.aspx). Four authorities: complaints, credible sources, random investigations after specified findings, and personal certification by the Secretary. Each route has conditions. See 20 CFR 655.806–655.808 and 8 USC 1182(n)(2)(G). Checked 2026-10-08.

<a id="reference-courseTheProgram-grace-period"></a>

19. Law or rulemaking · eCFR. [Discretionary grace period after employment ends](https://www.ecfr.gov/current/title-8/section-214.1#p-214.1(l)(2)). 8 CFR 214.1(l)(2). Up to 60 consecutive days or the remaining authorized validity period, whichever is shorter. This is discretionary. Checked 2026-10-08.

<a id="reference-courseTheProgram-lca-validity"></a>

20. Law or rulemaking · eCFR. [LCA validity period](https://www.ecfr.gov/current/title-20/section-655.750#p-655.750(a)). 20 CFR 655.750(a): certified period of employment; H-1B LCA up to three years. Checked 2026-10-18.

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21. Law or rulemaking · U.S. Congress / Government Publishing Office. [INA 212(n): Additional recruitment and non-displacement duties](https://www.govinfo.gov/content/pkg/USCODE-2024-title8/html/USCODE-2024-title8-chap12-subchapII-partII-sec1182.htm). 8 USC 1182(n)(1)(E)–(G), (3)(A)–(B). U.S. Code, 2024 edition. Covered employers and non-exempt workers have conditions. The exempt-worker definition includes the $60,000 wage or related advanced-degree alternatives. Checked 2026-10-08.