The prevailing wage determination is a procedure conducted by the United States Department of Labor (DOL) to identify the reference wage for a specific occupation in a given geographic area. In the context of the H-1B, it is a key element for protecting the labor market.
In practice, this reference wage functions as a floor: the employer must offer compensation consistent with what is standard for that role and location. The goal is to prevent positions from being filled by foreign workers at rates below market standards, protecting both the hired professional and local workers.
To arrive at this reference wage, factors typically considered include:
- The nature and complexity of the job duties.
- The level of experience and qualifications required.
- The geographic location of the position.
If the proposed compensation falls below the reference wage, it generally must be adjusted to comply with the rules. Since values and criteria are updated by the authorities, the best approach is to consult official sources (DOL and USCIS) or a specialist when handling this step.
Learn more about H-1B
- Initial validity
- 3 years
- Extension
- Up to 6 years total
- Annual cap
- 85,000 visas
- Processing
- 6-12 months
About the author
Victoria Harper
Editor-in-Chief
As a journalist and lead editor at Visto n’ Visa, Victoria helps ensure that immigration topics are covered in a clear, trustworthy, and easy-to-understand way. Her focus is on delivering useful, human, and relevant content for people exploring new paths abroad.