The United States government has proposed a significant revision to the wage structure under the H-1B visa programme, aiming to increase minimum salaries for foreign workers by up to 30 per cent. The move is intended to prevent companies from hiring overseas talent at lower wages compared to American employees.
The proposal was introduced by the US Department of Labour on March 27 and is currently open for public feedback until May 26, according to a PTI report. The revision seeks to update wage levels across four categories, ranging from entry-level professionals to highly experienced workers. The existing wage benchmarks were last set nearly two decades ago and are now considered outdated in relation to current labour market conditions.
At present, the prevailing annual wage levels are approximately $73,279 for entry-level workers, $98,987 for Level II employees, $121,979 for Level III, and $144,202 for Level IV professionals.
Under the new proposal, these figures would increase to $97,746 for entry-level roles (a rise of 33.39%), $123,212 for Level II (24.47% increase), $147,333 for Level III (20.79% increase), and $175,464 for Level IV positions (21.68% increase). The Department of Labour also noted that wage standards differ across various US cities, depending on local market conditions.
Officials argue that the current system allows employers to pay foreign workers significantly less than American workers in similar roles. The proposed changes would apply to visa categories such as H-1B, H-1B1, E-3, and PERM labour certification programmes.
While supporters believe the move will protect domestic workers and reduce misuse of visa programmes, industry groups have raised concerns. Critics say the increased wage requirements could make it harder for smaller companies to hire fresh talent or entry-level employees.
The public consultation period will remain open until May 26, after which the Department of Labour will review the feedback before finalizing the rule.
This is not the first time such a reform has been attempted. During his previous term, former US President Donald Trump introduced a similar wage revision in 2020, which faced legal challenges and was eventually withdrawn. More recently, a separate order in 2025 introduced a $100,000 fee for certain H-1B applicants, along with directions to revise prevailing wage rules further.
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