The Trump administration took another step toward reshaping high-skilled immigration on Thursday, releasing a 204-page Notice of Proposed Rulemaking (NPRM) that would sharply increase prevailing-wage minimums for H-1B, H-1B1, E-3 and PERM green-card cases. Under the proposal, Wage Level I would jump from the 17th to the 34th percentile of Bureau of Labor Statistics data, while Level IV would rise from the 67th to the 88th percentile. Employers would have 60 days to submit comments before the Department of Labor (DOL) finalizes the regulation, slated to take effect in late summer—just ahead of FY 2027 H-1B petition filing windows. The rule dovetails with DHS changes that replaced the random H-1B lottery with a wage-weighted selection process last month and follows Congress’ imposition of a new $100,000 out-of-country H-1B filing fee. Together, the moves aim to discourage low-salary outsourcing models and steer limited visa numbers to higher-paid, senior talent. Critics call the package protectionist and warn of skill shortages in health care, semiconductor manufacturing and clean-energy engineering—sectors targeted by the administration’s own industrial-policy goals. For U.S. companies, the math is stark.
![Trump Administration Unveils Rule to Raise Prevailing Wages for H-1B and PERM Workers]()
Companies grappling with these heightened wage floors can simplify their work-visa strategy through VisaHQ, which provides real-time prevailing-wage data, document checklists, and expert reviews for H-1B, E-3 and PERM filings—learn more at https://www.visahq.com/united-states/
Immigration counsel estimate that adjusting an entry-level software engineer in Austin from the 17th to the 34th percentile would raise the required wage floor by roughly $14,000 a year; a senior data-scientist Level IV role in Silicon Valley could see a mandatory increase of more than $45,000. Employers that can’t meet the new thresholds will either forgo sponsorship or relocate roles abroad, attorneys predict. Global mobility teams should map upcoming labor-condition applications and PERM filings against the proposed tables, budget for higher salaries, and watch for Stateside project delays if selected foreign workers decline new offers. Universities and hospitals—historically reliant on H-1B physicians and researchers—are pressing DOL to carve out exemptions for nonprofit research institutions, echoing carve-outs in the last attempted wage hike that courts ultimately blocked. The proposal revives an effort first launched in 2020, struck down on procedural grounds, and later withdrawn by the Biden administration. Unlike its predecessor, the new NPRM includes a phased implementation schedule and updated economic impact analysis intended to withstand legal scrutiny. Nevertheless, business associations and several state attorneys general are already preparing litigation, setting the stage for another courtroom battle that could leave employers in regulatory limbo through the next visa-cap season.
Companies grappling with these heightened wage floors can simplify their work-visa strategy through VisaHQ, which provides real-time prevailing-wage data, document checklists, and expert reviews for H-1B, E-3 and PERM filings—learn more at https://www.visahq.com/united-states/
Immigration counsel estimate that adjusting an entry-level software engineer in Austin from the 17th to the 34th percentile would raise the required wage floor by roughly $14,000 a year; a senior data-scientist Level IV role in Silicon Valley could see a mandatory increase of more than $45,000. Employers that can’t meet the new thresholds will either forgo sponsorship or relocate roles abroad, attorneys predict. Global mobility teams should map upcoming labor-condition applications and PERM filings against the proposed tables, budget for higher salaries, and watch for Stateside project delays if selected foreign workers decline new offers. Universities and hospitals—historically reliant on H-1B physicians and researchers—are pressing DOL to carve out exemptions for nonprofit research institutions, echoing carve-outs in the last attempted wage hike that courts ultimately blocked. The proposal revives an effort first launched in 2020, struck down on procedural grounds, and later withdrawn by the Biden administration. Unlike its predecessor, the new NPRM includes a phased implementation schedule and updated economic impact analysis intended to withstand legal scrutiny. Nevertheless, business associations and several state attorneys general are already preparing litigation, setting the stage for another courtroom battle that could leave employers in regulatory limbo through the next visa-cap season.
