Wednesday, May 19, 2021
The effective date of the “Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Immigration and Non-Immigrants in the United States” (Prevailing Wage Rule) related to H-1B, H-1B1, and E-3 work visa cases, as well as for PERM cases, is delayed to November 14, 2022. The Biden Administration states that it continues to review the rule.
However, the administration has released the implementation schedule. This should allow employers to prepare and strategize for what undoubtedly will be some sort of wage increase.
Background
In October 2020, the Trump Administration issued the Prevailing Wage Rule as an Interim Final Rule (IFR) that would have significantly raised prevailing wage requirements for H-1B, H-1B1, and E-3 work visa cases, as well as for PERM cases. The wage increase was so substantial and quick that employers would have had difficulty hiring entry level workers, who constitute approximately 60 percent
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The effective date of the “Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Immigration and Non-Immigrants in the United States” (Prevailing Wage Rule) related to H-1B, H-1B1, and E-3 work visa cases, as well as for PERM cases, is delayed to November 14, 2022. The Biden Administration states that it continues to review the rule.
However, the administration has released the implementation schedule. This should allow employers to prepare and strategize for what undoubtedly will be some sort of wage increase.
Background
In October 2020, the Trump Administration issued the Prevailing Wage Rule as an Interim Final Rule (IFR) that would have significantly raised prevailing wage requirements for H-1B, H-1B1, and E-3 work visa cases, as well as for PERM cases. The wage increase was so substantial and quick that employers would have had difficulty hiring entry level workers, who constitute
U.S. Department of Labor’s DOL Bureau of Labor Statistics released a report showing that the nonfarm economy added only 266,000 jobs in April 2021, well short of the 1 million jobs that many economists were predicting.
Biden administration will delay the effective date of the Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens in the United States rule (Prevailing Wage Rule) for 60 days while DOL conducts a new comment period
According to a draft scheduled for publication in the
Federal Register on February 1, 2021, the Biden administration plans to delay the effective date of the
In the final days of the Trump administration, DOL published a rule designed to raise minimum wages for high-skilled workers. With a March 15, 2021, effective date, that rule would start to affect H-1B, H-1B1, and E-3 work visa cases, as well as PERM filings in July 2021. Among other things, Level I and Level II wages moved up a step, making it more difficult to hire entry-level employees.