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H-1B Visas · Labor Costs · Regulation · Tech Industry
The Trump administration, through a Department of Labor proposal, is mandating significantly higher prevailing wages for H-1B visa holders and certain green card categories, increasing entry-level wages by 18% and raising all four wage levels to higher percentiles to prevent salary undercutting for American workers.
The proposal adjusts prevailing wage levels for white-collar H-1B and green card workers based on specific occupation and geographic market. This move targets companies accused of exploiting the H-1B program to hire inexpensive foreign talent, despite businesses like Amazon.com Inc., Microsoft Corp., Meta Platforms Inc., Google, and Tata Consultancy Services asserting H-1B workers are essential for specialized needs.
Secretary of Labor Lori Chavez-DeRemer stated the rule ensures foreign workers receive market-value wages and protects American jobs. The proposal increases Wage Level I from the 17th to the 34th percentile, Level II from 34th to 52nd, Level III from 50th to 70th, and Level IV from 67th to 88th.
This follows recent overhauls, including a revamped H-1B lottery favoring higher-paid workers and a $100,000 fee for hiring H-1B workers from outside the US. The public has 60 days to submit comments after the proposal's March 27 Federal Register publication.
