United States: DOL Proposal to Revise Wage Rules in the H-1B and PERM Programs Clears Federal Review
February 23, 2026
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At a glance
- A Department of Labor proposed rule that would revise wage rules for the H-1B nonimmigrant and the PERM labor certification programs has been cleared by the Office of Management and Budget (OMB).
- The next step for the proposal is publication in the Federal Register for public feedback.
- The specific content of the proposal will not be known until publication, but it could seek to increase prevailing wages for these programs, thereby raising the minimum required wage to be paid to H-1B workers and offered in the employment-based permanent residence context.
- The proposal would not take effect unless and until it undergoes a public comment period and moves through the final stages of rulemaking.
The issue
A Department of Labor (DOL) proposed rule that would revise wage rules in the H-1B nonimmigrant and PERM labor certification programs has cleared the federal review process, bringing the regulation closer to publication in the Federal Register. The proposal was submitted to the Office of Management and Budget (OMB) for review two months ago.
Though details are confidential until publication in the Federal Register, the proposed rule could restructure the prevailing wage system for these programs, imposing higher wage minimums.
During the first Trump Administration in 2021, DOL finalized a regulation that would have restructured the agency’s four-level prevailing wage system, increasing the minimum required wages at all wage levels. The final rule was challenged in court and after the change in presidential administration, abandoned by the Biden-era DOL. The Biden-era DOL planned to issue its own prevailing wage proposed rule, but after several delays, the agency deprioritized and then removed the initiative from its regulatory agenda.
It is not yet known whether the proposal that just cleared review is the same as the rule finalized by the first Trump Administration in 2021.
What’s next
It is expected that the proposed regulation will be released for publication in the Federal Register in the coming days or weeks, with a public comment period of 30 or 60 days. DOL is required to give meaningful consideration to the public comments, but there is no minimum or maximum period for this stage of review. The agency would then publish a final version of the rule with an implementation period, which typically falls 30 or 60 days after publication.
Comments from the business community will be important to make the Administration aware of the rule’s impact on the position of the United States in the competition for global talent. If your organization wishes to comment on the proposed rule after it is published, please contact your designated Fragomen professional or the firm’s Government Strategies and Compliance Group.
This alert is for informational purposes only. If you have any questions, please contact the immigration professional with whom you work at Fragomen.
