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DOL Proposes Sharp Increases to H‑1B and PERM Prevailing Wages

The plan seeks to lift mandated pay to market levels to curb underpayment.

Overview

  • The Labor Department proposal, published Friday, opens a 60‑day comment window on raising the prevailing wage, the minimum pay employers must offer for these visas.
  • The rule would shift the four wage tiers to the 34th, 52nd, 70th and 88th percentiles from roughly the 17th, 34th, 50th and 67th.
  • The changes would apply across H‑1B, H‑1B1, E‑3 and PERM green card cases to keep one standard for temporary and permanent hiring.
  • If finalized, it would take effect only going forward, cover pending wage determinations and Labor Condition Applications on the effective date, and still allow approved alternative wage surveys.
  • The Labor Department estimates about a $14,000 rise in average certified pay per job, a jump analysts say could squeeze entry‑level foreign hires, with a court fight likely after similar 2021 increases were struck down.