The US Department of Labour has proposed a 30% increase in the minimum wages for H-1B visa holders, a significant change aimed at adjusting the prevailing wage floors that have not been updated for two decades. The new rule would raise entry-level wages from approximately $73,279 to $97,746, while higher experience levels would see similar increases, with Level IV wages reaching $175,464. This move is intended to prevent foreign labor from undercutting the salaries of American workers and to ensure that companies hire foreign professionals only when there is a genuine skill shortage. The proposal is currently open for public comments until May 26, 2026, after which the Department of Labour will review the feedback. Industry responses are divided; while labor advocacy groups support the changes, many in the tech industry worry that such a sudden increase in labor costs could harm smaller firms and the talent pipeline for international graduates of US universities. This proposal reflects a renewed focus on wage protections and aims to address the wage arbitrage gap that has developed over the years.