PERM prevailing wage versus the H-1B LCA wage

Two programs, two wage rules

People often move from an H-1B to a green card sponsored by the same employer, and the paperwork for each step contains a wage. The two wages are set under different rules. The H-1B Labor Condition Application, which this site summarizes, is filed by an employer with the Department of Labor and states the wage and the prevailing wage source the employer will use. The permanent labor certification, known as PERM, is a separate application processed by the same Department of Labor office. DOL describes the program as one that “allows an employer to hire a foreign worker to work permanently in the United States.”

How the PERM prevailing wage is set

Under 20 CFR 656.40, the National Processing Center provides the employer with a prevailing wage rate for the job. The regulation sets out the sources in order. If a collective bargaining agreement covers the job, its wage is the prevailing wage. If not, the prevailing wage is the arithmetic mean of the wages of workers similarly employed in the area of intended employment, using the DOL Occupational Employment Statistics wage data. An employer survey that meets the rule's standards can replace the OES data (if it reports only a median, the median is used), and an employer may use a current Davis-Bacon or Service Contract Act wage determination where it applies.

The determination has a validity period. The regulation says it may be no less than 90 days and no more than one year from the determination date, and that employers must file their applications or begin the required recruitment within that period. Employers and their lawyers manage that clock, which is one reason PERM timelines are planned months ahead.

How that differs from an LCA

On an LCA the employer chooses a wage source, commonly the OEWS wage levels I to IV for the occupation and area, and attests it will pay at least the required wage. The regulation at 20 CFR 655.731 sets that requirement. The wage level, where recorded, appears in the disclosure field PW_WAGE_LEVEL. The PERM rule text in 20 CFR 656.40 describes a single prevailing wage rate for the job, not four levels.

What this means when you read filed wages

If you are comparing a current H-1B wage with what a PERM filing might require, remember three things. First, the PERM wage is tied to the job requirements written in the request, so a more senior description changes it. Second, the LCA wages here are the bottom of the offered range, so they are not a forecast of a PERM wage. Third, a prevailing wage determination expires, so a number you hear in conversation may no longer be one an employer can file with.

Using this site next to PERM research

Use the occupation and metro pages here to see how employers stated H-1B wages for a job in your area, and the wage levels guide to understand the OEWS structure that the LCA relies on. For anything about a specific PERM case, an immigration lawyer is the right source; this page explains public rules and is not legal advice. Its sources are DOL's PERM program page and the text of 20 CFR 656.40, linked below, checked on 2026-11-01.

Questions