DOL H-1B Prevailing Wage Rule Under OMB Review, Not Yet Effective

The Department of Labor has submitted its final H-1B and PERM prevailing wage rule to the White House Office of Management and Budget for review. The Office of Information and Regulatory Affairs received the rule on November 6, 2026, and lists it as an economically significant final rule pending review. (reginfo.gov)

However, no new wage levels are currently in effect. As of November 11, 2026, the final text has not been published in the Federal Register, and its effective date and transition rules remain unknown.

What Has Changed in the Rulemaking Process?

OMB review is a prepublication review of significant federal regulations. Reaching this stage means the Department of Labor has completed its consideration of the public comments received on the proposed rule and prepared a final version.

It does not mean the regulation has taken effect. OMB may approve the rule, request changes or return it to the Department of Labor for additional work. The public will not know the final wage methodology or implementation schedule until the rule clears review and is released for publication. (reginfo.gov)

The Department of Labor originally published the proposal on March 27, 2026, and accepted comments through May 26, 2026. The proposal covers:

• H-1B workers;
• H-1B1 workers from Chile and Singapore;
• E-3 workers from Australia; and
• Certain EB-2 and EB-3 green card cases requiring PERM labor certification. (federalregister.gov)

How the Proposed H-1B Wage Levels Would Change

The March proposal would significantly increase the percentile benchmarks used to calculate the four Occupational Employment and Wage Statistics wage levels.

These percentiles are not nationwide salary amounts. The actual required wage depends on the occupation, geographic area and applicable wage level. Readers can review the existing system in Day1CPT.org’s H-1B minimum salary and wage-level guide.

If the final rule retains the proposed benchmarks, many employers using federal OEWS wage data could face higher minimum salary requirements. The Department of Labor’s proposal estimated substantial increases across all four levels, but the impact on an individual job would depend on its occupation and work location. (public-inspection.federalregister.gov)

The proposal should not be confused with the separate H-1B wage-level weighted selection system. The selection rule governs how cap-subject registrations are chosen, while the Department of Labor rule would change how prevailing wage benchmarks are calculated.

What This Means for F-1, OPT and H-1B Workers

The development does not change F-1 status, Curricular Practical Training, Optional Practical Training or STEM OPT employment authorization.

It could nevertheless affect F-1 and OPT workers preparing to move into H-1B status. If higher wage benchmarks take effect, an employer may need to offer a higher salary for a future Labor Condition Application or assign the position to a different wage level based on the applicable data.

H-1B employers must already pay at least the higher of:

• the actual wage paid to similarly employed workers with comparable experience and qualifications; or
• the prevailing wage for the occupation in the area of employment. (dol.gov)

Students and workers should not assume that an offer qualifying under current wage data will necessarily satisfy a future wage determination. At the same time, no employee or employer should treat the March proposal’s figures as legally binding before the final rule is published and takes effect.

How the Rule Could Affect PERM Green Card Cases

The rule could also raise prevailing wages in PERM cases used for many employer-sponsored EB-2 and EB-3 green cards.

Before filing a PERM application, an employer generally obtains a Prevailing Wage Determination from the Department of Labor. The wage affects recruitment, the offered permanent position and the employer’s obligation to pay the sponsored worker when permanent employment begins. (public-inspection.federalregister.gov)

The March proposal would have applied the new methodology to certain pending or newly filed prevailing wage requests and Labor Condition Applications after the rule’s effective date. It would not have reopened previously approved wage determinations, PERM applications or LCAs. (public-inspection.federalregister.gov)

Those transition provisions may change in the final version. Employers with PERM cases in preparation or awaiting a wage determination should review the published final rule before deciding whether an existing case will use the old or new methodology.

What Happens Next?

The next major step is completion of OMB review. If the rule clears review, the Department of Labor can release it for publication in the Federal Register.

The published rule should answer several unresolved questions:

1. Whether the final wage percentiles remain at 34th, 52nd, 70th and 88th;
2. Which pending prevailing wage requests or LCAs will be covered;
3. Whether existing approvals will remain protected;
4. When the new methodology will take effect; and
5. Whether implementation will occur immediately or through a phased transition.

Until those details are published, employers should continue following the prevailing wage requirements currently in force.

Frequently Asked Questions

Is the new H-1B prevailing wage rule effective now?

No. As of November 11, 2026, the rule remains under OMB review and has not been published as a final rule in the Federal Register. Current prevailing wage requirements remain in effect.

Does OMB review mean the proposed wage levels are final?

Not necessarily. The Department of Labor has prepared a final regulatory text, but that text is not yet public. OMB may request changes, and the final methodology may differ from the March 2026 proposal.

Will current H-1B workers automatically need a salary increase?

No automatic increase has been announced. Whether a future rule affects an existing worker will depend on the final effective date, transition provisions and whether the employer must file a new LCA or H-1B petition. The March proposal did not seek to retroactively change previously certified LCAs, but the final text must be checked.

Could the rule affect the 2027 H-1B cap season?

It could, depending on when the final rule is published and becomes effective. Employers preparing future cap-subject petitions should monitor the final implementation date rather than assuming the current or proposed wage benchmarks will apply.

Does this rule change CPT, OPT or Day 1 CPT requirements?

No. The rule concerns prevailing wage calculations for H-1B, H-1B1, E-3 and PERM cases. It does not amend F-1 status or CPT, OPT and STEM OPT employment authorization rules.

Sources:

• OMB Office of Information and Regulatory Affairs — Pending Review for RIN 1205-AC30
• Federal Register — March 2026 Proposed Prevailing Wage Rule
• U.S. Department of Labor — H-1B Required Wage Fact Sheet
• U.S. Department of Labor — Prevailing Wage Program
• Fragomen — DOL Final Rule on Prevailing Wages Now Under OMB Review