The United States is reviewing a proposal that could raise the minimum salaries employers must pay foreign workers on key temporary work visas.
The U.S. Department of Labor has filed a draft rule with the Office of Management and Budget, though the text has not yet been made public.
Early indications suggest the proposal would lift prevailing wage levels for several visa programmes, including the H-1B for skilled professionals, the H-1B1 for Chilean and Singaporean workers, the E-3 for Australians, and the PERM labour certification process tied to employer-sponsored green cards.
Prevailing wages set the legal minimum pay based on job type, experience level, and geographic location under a four-tier system.
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An upward revision would raise thresholds across all tiers, potentially making it more expensive for companies to hire foreign talent, especially for entry-level roles.
A similar effort in 2021 under the Trump administration pushed wage percentiles higher but was blocked in court and later withdrawn.
Subsequent Biden-led administration moves to update the framework were delayed and later removed from the rulemaking agenda.
If adopted, the change could reduce the number of lower-paid positions available under the H-1B visa while increasing compensation for some foreign workers.
Small and mid-sized firms may find sponsorship costs more challenging under the revised wage structure.
The proposal would affect widely used pathways in technology, engineering, healthcare, and finance, as well as allied visa categories and permanent-resident routes.
The full text is expected to appear in the Federal Register, after which the public and stakeholders will have an opportunity to comment before any final decision.
