1. DOL’s Proposed Prevailing Wage Rule Is One to Watch
The U.S. Department of Labor’s proposed prevailing wage rule is one that may have a significant impact on companies and HR professionals. Published in the Federal Register on March 27, 2026, the proposal would significantly raise prevailing wage requirements across the H-1B, H-1B1, E-3, and PERM programs, with comments due by May 26, 2026.
If finalized, the changes would be especially significant for entry-level hiring. The proposal would increase the Level 1 wage by approximately 33%, which equates to an average annual increase of approximately $14,000 per affected worker.
For employers, this is not a technical change, but a material increase in labor costs that would affect not only new H-1B filings, but also extensions, amendments, and PERM-based green card sponsorship strategies. DOL’s own data reflects how broad the impact could be: in FY 2024, 62.6% of H-1B workers were certified at Wage Level I or II, meaning a substantial share of current sponsorship cases sit in the wage bands most directly impacted by the proposal.
Why this matters for HR
For many employers, the traditional foreign national talent pipeline has long been relatively predictable: F-1 student to OPT to H-1B professional to PERM-based permanent residence. That pathway is becoming more expensive and less predictable at each stage.
For HR teams, that means the economics of sponsorship may change materially, particularly for recent graduates, early-career professionals, and employers who require foreign nationals as an integral part of their workforce to meet their human resource needs.
Continue here for additional details on this HR Client Alert.
If you have any questions please contact: Anthony F. Siliato, Scott R. Malyk, Lin R. Walker, or Stacey A. Simon.
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