Overview
- The Labor Department proposed raising prevailing wages for H‑1B, H‑1B1, E‑3 and PERM, with comments open until May 26 before any final rule.
- The draft shifts how pay floors are set by moving wage levels to higher percentiles of labor data, including entry level from the 17th to the 34th percentile.
- Example national figures in the proposal show Level I at about $97,746, Level II at $123,212, Level III at $147,333 and Level IV at $175,464, with actual pay varying by city and job.
- Officials say the current method is almost two decades old and has let some employers pay foreign hires less than comparable U.S. workers.
- Industry groups warn higher floors could squeeze startups, mid‑sized firms and outsourcing companies and reduce entry‑level roles for many Indian tech workers, while a similar 2020 attempt was withdrawn after legal pushback and a 2025 order had already added a $100,000 H‑1B fee abroad.