The United States has taken a step toward changing how wages are set for foreign workers. A proposed rule that impacts the H-1B visa and the employment-based green card process has now cleared federal review.
The rule, put forward by the United States Department of Labor, has completed its review at the Office of Management and Budget and was concluded on February 20, 2026. It has been marked as “Consistent with Change” by the Office of Information and Regulatory Affairs, signaling that it has moved one step closer to being released publicly.
If it moves ahead, it could lead to higher minimum salary requirements for companies sponsoring foreign employees.
The proposal was sent to the Office of Management and Budget for review about two months ago. Now that it has cleared that stage, it is expected to be released soon for public comment before a final decision is made.
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Prevailing wages set the minimum salary that US employers are required to pay foreign workers, depending on the job role and where the position is located. So any change to this system has a direct impact on hiring costs, eligibility criteria and even whether companies decide to sponsor a candidate at all.
The full regulatory text is still not public. But immigration experts believe the proposal could change the way wage levels are calculated and may raise salary benchmarks across several occupations.
This is not the first time wage rules for foreign workers have come under review. During his earlier term, Trump oversaw a Department of Labor rule in October 2020 that sharply increased required wages for H-1B workers and employment-based green card applicants, in some cases by 40 to 100 percent.
That rule was later struck down in court after challenges from groups including the U.S. Chamber of Commerce, the Bay Area Council, and Stanford University, and was eventually withdrawn.
The Biden administration had indicated it would introduce a revised wage framework, but that effort was ultimately put on hold.
The current development is especially important for Indian professionals. Indians make up a large majority of H-1B visa holders and a significant share of employment-based green card applicants in the US, particularly in technology and healthcare.
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According to data released by U.S. Citizenship and Immigration Services, Indians accounted for 71 percent of all H-1B approvals in fiscal 2024, including extensions. That works out to about 2.8 lakh approvals. Chinese nationals were next, with roughly 47,000 approvals, or around 12 percent of the total.
Typically, a proposed rule is open for public comment for 30 to 60 days. However, immigration experts believe the comment window in this case may be limited to 30 days to speed up the process.
The proposed rule seeks to strengthen wage protections under the H-1B visa and the PERM labour certification system, which govern skilled temporary workers and employment-based permanent residency in the United States. According to Fragomen, if finalized, it could raise prevailing wage levels and increase the minimum salaries employers must pay H-1B workers or offer in green card cases filed through PERM.
If implemented, the revised wage framework could apply to candidates selected in the 2027 H-1B season. Registrations for the upcoming H-1B cap are scheduled to open between March 4 and March 19.