Changes to the Prevailing Wage Requirement for H-1B and E-3 Visas Forthcoming

According to a notice released on Wednesday this week, the U.S. Department of Labor (“DOL”) plans to adjust the prevailing wage requirements for the H-1B visa and permanent residence process. These adjustments also will affect the E-3 visa for Australian professionals and the H-1B1 visa for professionals from Chile and Singapore.   

The DOL offered few details about the upcoming changes, including how and why the wage levels would be changed.  All we know is that the DOL sent proposed changes on Wednesday to the White House to review the new rules before they are published.  The rule is set to be released as an interim final rule, which means it could take immediate effect before the public could provide feedback. 

These changes are in response to Trump’s recent proclamation restricting the admission of new H-1B workers to the United States in which he instructed the DOL to review the prevailing wage requirement to ensure that “we’re getting the best and the brightest.”  Trump has been calling for changes to the H-1B visa program since he took office and issued the “Buy American, Hire American” Executive Order. 

By way of background, employers who seek to sponsor foreign national workers for E-3, H-1B and H-1B1 visas must show the DOL that the workers will be paid the same salary as those with similar experience already working at the company (“actual wage”) or the prevailing wage determined by the DOL, whichever is greater.

This alert is for informational purposes only.  If you would like to discuss this development further, please do not hesitate to contact us.

We will continue to monitor the situation and provide updates as soon as we have more information.