The U.S. Department of Labor published a Notice of Proposed Rulemaking in the Federal Register on March 27, 2026, targeting the wage methodology used for key visa categories.
The proposed rule is designed to substantially restructure how prevailing wages are calculated for H-1B, H-1B1, and E-3 nonimmigrant classifications.
If finalised, the changes would result in significant wage increases across all four wage levels for some pending applications and all new filings.
Extensions of H-1B and E-3 employees would also be captured under the proposed rule, widening its reach across the employer community.
Based on the DOL’s historical and proposed prevailing wage data, the proposed adjustments would increase the average certified wage by approximately $14,000 per year per sponsored employee.
Despite the increases, the proposed rule would continue to permit employers to use alternative wage sources beyond the Occupational Employment and Wage Statistics salary survey data, which are not subject to DOL wage percentiles.
The 60-day public comment period closed on May 26, 2026, and the DOL must now review comments before deciding whether to finalise, modify, or withdraw the proposal.
Although the rulemaking is framed around the H-1B programme, the proposed methodology would also affect the PERM labour certification process for EB-2 and EB-3 employment-based green cards.
More than 57 percent of PERM applications in fiscal year 2024 were filed on behalf of workers already holding H-1B status, underlining the scale of the potential knock-on effect.
Employers pursuing permanent sponsorship should therefore anticipate that any final rule would likely raise required PERM wage offers in parallel with H-1B and E-3 wage floors.
Barnes and Thornburg recommends employers contact immigration counsel to identify potentially impacted employees and analyse any necessary action, including the filing of extensions of H-1B status.
The firm also advises reviewing the use of alternative wage survey data sources and examining position details and minimum requirements in light of the proposed changes.
The proposal represents one of the most significant shifts to the prevailing wage framework in recent years, with broad implications for employers across sectors reliant on skilled international workers.