Washington, March 27 (NationPress) The US Department of Labor has put forth a proposal aimed at increasing salaries for foreign workers participating in the H-1B and other visa programs.

This initiative seeks to synchronize the pay of foreign workers with that of the US labor market. Officials assert that this will shield American workers and mitigate the exploitation of the visa system.

“The Trump Administration is dedicated to ensuring that American employees are not placed at a disadvantage due to inequitable wage practices,” stated Labor Secretary Lori Chavez-DeRemer.

The proposed changes will revise the method by which “prevailing wages” are determined. These wages define the minimum compensation that employers are required to provide foreign workers.

As per the new framework, entry-level salaries are expected to see a significant increase. The lowest tier will rise from approximately the 17th percentile to the 34th percentile, while the highest tier will increase from the 67th to the 88th percentile.

Officials contend that the current wage standards are insufficient, allowing companies to hire foreign labor at lower costs compared to US employees.

Data from the government indicates that H-1B workers frequently receive less compensation than their American counterparts in equivalent roles. On average, this disparity amounts to roughly $10,000, according to the proposal.

The Department highlighted that this wage gap creates an incentive for employers to replace American workers with less expensive foreign labor.

Under the current regulations, employers are obligated to pay either the prevailing wage or the actual wage paid to US workers, with the higher amount taking precedence. However, critics argue that the prevailing wage is set too low, acting merely as a floor.

The new regulation aims to elevate this floor to better represent individuals with comparable skills and experience.

This proposal will apply only to new submissions and will not affect existing approvals.

The Department anticipates that wages could potentially increase by around $14,000 annually per worker, which may raise labor expenses for employers.

Officials assert that the primary aim is to restore equity in the labor market, emphasizing that foreign workers should not undermine US wages.

Public feedback will be welcomed for 60 days following its publication in the Federal Register on March 27.

The H-1B visa serves as the primary US program for the employment of foreign skilled labor, with many individuals later transitioning to permanent residency through various visa categories.

The proposed alterations could significantly affect employers and foreign professionals, particularly within the technology industry.