The H-1B visa plays a critical role in allowing skilled foreign nationals, including international students, to work and settle in the U.S. However, the National Foundation for American Policy (NFAP) reveals that only 20% of new H-1B registrations get approval, making it one of the most difficult U.S. visa categories.
Contrary to perceptions that H-1B is an easy entry point, the NFAP states, “The category is already highly restricted due to the numerical limit.” The current structure includes substantial application fees, strict wage standards, and other legal obligations for employers.
The visa cap stands at 85,000 annually—including 20,000 slots for U.S. master’s degree holders—a number unchanged for nearly two decades. In FY 2025, employers submitted 423,028 eligible H-1B registrations, yet only 85,000 foreign nationals could proceed due to the cap—an approval rate of just 20%.
National Foundation for American Policy (NFAP) highlights that “A foreign couple wanting to attend Mardi Gras is three times more likely to get a visa… than an electrical engineer with a master’s degree,” showcasing the disparity in visa allocations.
While 72% of tourist visas and 90%+ of most other work visas get approved, H-1B remains the most restricted. “Most of the time it’s not Mistral or the rest, it’s Mistral and the rest,” notes an expert from Capgemini, highlighting reliance on foreign tech collaborations.
As per Ogletree Deakins, FY 2026 saw a selection rate of approximately 35%, up from 29% in FY 2025. The total number of eligible registrations fell by 26.9% from 470,342 in FY 2025 to 343,981 in FY 2026.
There was a decrease in unique beneficiaries—from 423,038 in FY 2025 to 336,153 in FY 2026. The average registration per applicant also fell from 1.06 to 1.01, indicating fewer multiple entries.
The tech industry argues that the 0.05% cap relative to the U.S. labor force is inadequate. Critics demanding even higher salary requirements fail to recognize that without H-1B visas, the pipeline of skilled foreign workers would dry up, especially in AI and STEM fields.
The H-1B visa system continues to face mounting criticism for being overly restrictive at a time when the U.S. technology and innovation sectors are in dire need of skilled talent.
Despite being one of the primary avenues for foreign professionals to enter and contribute to the American economy, the current cap of 85,000 visas annually is proving insufficient against rising demand.
With only 20% of applicants gaining approval in FY 2025, and even a modest rise to 35% in FY 2026, the system is failing to match industry needs. Comparisons with other visa types underscore the disparity in approval rates, and experts warn that further restrictions may hinder America's global competitiveness.
While the decrease in applications may slightly ease selection pressure, substantial reform in immigration policy is essential to align the H-1B program with the realities of a rapidly advancing global tech economy.