DOL Proposes Major Prevailing Wage Increase for H-1B, H-1B1, E-3, and PERM

The Department of Labor (DOL) has issued a proposed rule that would significantly increase prevailing wage requirements for employers sponsoring foreign workers under the H-1B, H-1B1, E-3, and PERM labor certification programs. If finalized, these changes would raise the minimum wage levels that employers must pay sponsored workers, affecting thousands of pending and future applications. For PERM labor certification — the first step in the EB-3 employment-based green card process — higher prevailing wages would directly increase the cost burden on sponsoring employers. Employers whose offered wages fall below the new thresholds would need to either increase compensation or risk denial of their PERM applications. The proposed changes are particularly significant for EB-3 applicants whose green card petitions are tied to specific job offers and wage levels. Applicants with pending PERM cases may face additional scrutiny or requirements if the rule takes effect before their cases are adjudicated. The proposal is subject to a public comment period before any final rule is issued. Immigration attorneys are advising employers to review current prevailing wage determinations and assess whether existing or planned sponsorships would remain compliant under the proposed increases. EB-3 applicants and their employers should consult with immigration counsel to evaluate the potential impact on pending PERM filings and to determine whether wage adjustments or accelerated filing strategies may be appropriate given the proposed regulatory changes.