Important Updates
Important Updates
July 3, 2025 | United StatesUnited States: Congress Passes Budget Reconciliation Bill with Immigration Impact
July 3, 2025 | CanadaCanada: Ontario Implements Key Reforms to the Immigrant Nominee Program
July 3, 2025 | CanadaCanada: Québec Reopens Skilled Worker Program and Unveils Selection Criteria
July 3, 2025 | United Arab EmiratesUnited Arab Emirates: Temporary Pause on Issuing Freelance Visas
July 3, 2025 | United KingdomUnited Kingdom: Migration Advisory Committee to Assess Salary Thresholds, Temporary Shortage List Occupations
July 3, 2025 | United StatesUnited States: Congress Passes Budget Reconciliation Bill with Immigration Impact
July 3, 2025 | CanadaCanada: Ontario Implements Key Reforms to the Immigrant Nominee Program
July 3, 2025 | CanadaCanada: Québec Reopens Skilled Worker Program and Unveils Selection Criteria
July 3, 2025 | United Arab EmiratesUnited Arab Emirates: Temporary Pause on Issuing Freelance Visas
July 3, 2025 | United KingdomUnited Kingdom: Migration Advisory Committee to Assess Salary Thresholds, Temporary Shortage List Occupations
July 3, 2025 | United StatesUnited States: Congress Passes Budget Reconciliation Bill with Immigration Impact
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMedia
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Navigating Immigration Under the Second Trump AdministrationTravel & Mobility Considerations: Situation in the Middle EastImmigration Matters: Your U.S. Compliance RoadmapHumanitarian and Evolving Legal Pathways (HELP)Vietnamese ImmigrationAustralian Immigration: New Skills in Demand Visa
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Navigating Immigration Under the Second Trump Administration
  • Travel & Mobility Considerations: Situation in the Middle East
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Humanitarian and Evolving Legal Pathways (HELP)
  • Vietnamese Immigration
  • Australian Immigration: New Skills in Demand Visa

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMedia
  • Insights

New DOL Rule Makes Significant Increases to PERM and H-1B Wage Minimums

October 6, 2020

insight-news-default

Country / Territory

  • United StatesUnited States

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

At a Glance

  • The regulation will restructure the prevailing wage system for the H-1B, E-3, H-1B1 and PERM programs.
  • Entry-level wages for H-1B and PERM cases, for example, will increase to the 45th percentile of wages for the occupation and geographic location, from the 17th percentile – just under the current wage minimum for Level III. 
  • The regulation will be published on Thursday and will take effect immediately upon publication, though it is expected to be challenged in court.

The issue

A new Department of Labor (DOL) regulation will lift wages for H-1B, E-3, and H-1B1 nonimmigrant cases and the PERM labor certification program. The regulation will be published on October 8, 2020 and will take effect immediately, though DOL will accept public comments for 30 days. It is being issued as a companion to a new Department of Homeland Security regulation that will tighten H-1B eligibility standards and place new constraints on the offsite placement of H-1B workers. Both rules have been priorities in the Trump Administration.

A closer look

The Department of Labor uses Occupational Employment Statistics (OES) data from the Bureau of Labor Statistics (BLS) to determine prevailing wages in a wide array of occupations. The prevailing wage rate is defined as the average wage paid to similarly employed workers in a specific occupation in the geographic area of intended employment. The OES prevailing wage is subdivided into four tiers or wage levels, representing the range of skills from entry level to experienced.

Under the new rule, OES prevailing wage minimums will increase significantly for foreign workers at all four levels of skill and experience. For example, under current rules, the Skill Level I (entry level) wage minimum is set at the 17th percentile of the average wage for the occupation. When the new regulation takes effect, the entry-level minimum will increase to the 45th percentile – just under what is today the minimum salary for Skill Level III.

Notwithstanding these wage increases, the regulation will permit employers to continue to use alternative wage sources instead of DOL prevailing wage data for LCAs and PERM applications; these sources are not subject to the DOL wage percentiles.

Implementation of the new rule

The DOL wage regulation will take effect as follows:

  • LCAs filed on or after October 8 will be subject to the new and higher wage minimums. LCAs filed and pending before October 8 will benefit from the current prevailing wage structure.
  • PERM prevailing wage determinations issued on or after October 8 will be subject to the new wage structure. Determinations issued before October 8 will be based on the current prevailing wage structure. Prevailing wage determination requests pending on October 8 will be subject to the new regulation.


However, the rule is likely to be the subject of federal lawsuits. DOL took the rare step of issuing the regulation with immediate effect, no advance notice or opportunity for public comment, and without an economic impact analysis, all of which make the rule vulnerable to challenge. Plaintiffs in any litigation are likely to seek preliminary injunctions to block DOL from enforcing the rule while challenges are litigated in court.

Fragomen is closely analyzing the new regulation and monitoring its implementation. Further client alerts will be issued in the near future.

This alert is for informational purposes only. If you have any questions, please contact the immigration professional with whom you work at Fragomen.

Country / Territory

  • United StatesUnited States

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Podcast

David Kipp über Migration von Indien nach Deutschland

David Kipp von der Stiftung Wissenschaft und Politik im Gespräch mit Marius Tollenaere, Partner im Frankfurter Büro von Fragomen.

Learn more

Blog post

EB-5: What You Should Know—And Why It Might Be Worth It

Partner Dan Schwarz and Senior Associate Mikhail (Mike) Izrailev provide an overview of the EB-5 visa program, highlighting its benefits and key considerations for potential investors.

Learn more

Blog post

The 11th Seat: Timor-Leste's ASEAN Debut and the Shifting Map of Regional Mobility

Business Immigration Consultant Ryaihanny Sahrom discusses Timor-Leste's ASEAN debut and its impact on regional mobility.

Learn more

Blog post

Understanding the Saudi Real Estate Market: What Expats Need to Know

Destination Services Manager Ali Sikandar provides essential information for expats navigating the Saudi real estate market.

Learn more

Blog post

2025 Middle East and Africa Immigration Trends: Balancing Localization Concerns with Global Talent Attraction Efforts

This blog highlights the most significant immigration developments shaping the Middle East and Africa in 2025, drawing from Fragomen’s upcoming 2025 Regional Immigration Overviews—available mid-July.

Learn more

Video

French Citizenship by Decree | Everything You Need to Know

Immigration Consultant Azela Hadia covers everything you need to know about French citizenship by decree, a legal process through which a foreign national can acquire French nationality.

Learn more

Blog post

Navigating the UAE Corporate Landscape: A Strategic Guide for Startups and Entrepreneurs

This blog provides an overview of the key factors to consider when deciding in which jurisdiction to set up a company in the UAE.

Learn more

Media mentions

TechRound: Experts Share: How Will The Global Talent Visa Help The Startup Industry?

Manager Alexander Hood explains how the UK’s Global Talent visa helps tech founders start and grow businesses without employer sponsorship.

Learn more

Blog post

The Future of Care Work in the UK: Understanding the Latest Immigration Announcements

Partner Siobhan Owers and Senior Associate Asif Hanif discuss the latest UK immigration announcements and their impact on the future of care work.

Learn more

Media mentions

Toronto Star: 25 Years Ago New Immigrants to Canada Told Us Their Dreams. We Checked In to See How They’ve Fared

Senior Business Immigration Analyst Rabaa Biry recently shared her journey to Canada and how support and perseverance helped shape her path forward.

Learn more

Fragomen news

2025年6月 アメリカ移民法ダイジェストLearn more

Media mentions

Arab News: Growing Saudi Film Industry Driving Job Creation, Economic Growth

Partner Abeer Al Husseini highlights how Saudi Arabia’s growing film industry is creating jobs, attracting global talent and supporting economic diversification.

Learn more

Podcast

David Kipp über Migration von Indien nach Deutschland

David Kipp von der Stiftung Wissenschaft und Politik im Gespräch mit Marius Tollenaere, Partner im Frankfurter Büro von Fragomen.

Learn more

Blog post

EB-5: What You Should Know—And Why It Might Be Worth It

Partner Dan Schwarz and Senior Associate Mikhail (Mike) Izrailev provide an overview of the EB-5 visa program, highlighting its benefits and key considerations for potential investors.

Learn more

Blog post

The 11th Seat: Timor-Leste's ASEAN Debut and the Shifting Map of Regional Mobility

Business Immigration Consultant Ryaihanny Sahrom discusses Timor-Leste's ASEAN debut and its impact on regional mobility.

Learn more

Blog post

Understanding the Saudi Real Estate Market: What Expats Need to Know

Destination Services Manager Ali Sikandar provides essential information for expats navigating the Saudi real estate market.

Learn more

Blog post

2025 Middle East and Africa Immigration Trends: Balancing Localization Concerns with Global Talent Attraction Efforts

This blog highlights the most significant immigration developments shaping the Middle East and Africa in 2025, drawing from Fragomen’s upcoming 2025 Regional Immigration Overviews—available mid-July.

Learn more

Video

French Citizenship by Decree | Everything You Need to Know

Immigration Consultant Azela Hadia covers everything you need to know about French citizenship by decree, a legal process through which a foreign national can acquire French nationality.

Learn more

Blog post

Navigating the UAE Corporate Landscape: A Strategic Guide for Startups and Entrepreneurs

This blog provides an overview of the key factors to consider when deciding in which jurisdiction to set up a company in the UAE.

Learn more

Media mentions

TechRound: Experts Share: How Will The Global Talent Visa Help The Startup Industry?

Manager Alexander Hood explains how the UK’s Global Talent visa helps tech founders start and grow businesses without employer sponsorship.

Learn more

Blog post

The Future of Care Work in the UK: Understanding the Latest Immigration Announcements

Partner Siobhan Owers and Senior Associate Asif Hanif discuss the latest UK immigration announcements and their impact on the future of care work.

Learn more

Media mentions

Toronto Star: 25 Years Ago New Immigrants to Canada Told Us Their Dreams. We Checked In to See How They’ve Fared

Senior Business Immigration Analyst Rabaa Biry recently shared her journey to Canada and how support and perseverance helped shape her path forward.

Learn more

Fragomen news

2025年6月 アメリカ移民法ダイジェストLearn more

Media mentions

Arab News: Growing Saudi Film Industry Driving Job Creation, Economic Growth

Partner Abeer Al Husseini highlights how Saudi Arabia’s growing film industry is creating jobs, attracting global talent and supporting economic diversification.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2025 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.