H1B Wage Level Increase Lawsuit Filed (ITServe Alliance)

H1B wage level increase lawsuit filed in New Jersey by ITServe alliance. Chances of getting stay order are good. H1B extension, transfer, amendment affected.

Written by AM22Tech Team
  AM22Tech Team    Updated 16 Oct, 20

ITServe alliance has again taken the lead and has filed the first lawsuit challenging DOL’s wage level increase in federal court.

This Dallas based organization is the association of IT Services organizations. They have challenged raising minimum salary requirements for foreign professionals on high-skilled work visas, claiming the government used faulty data when setting the new figures.

ITServe is the same organization who had won a court case against USCIS’s strict rules for short H1B third party approvals and the itinerary requirements earlier this year.

Chances of Court Stay Order

The chances of getting a stay order to stop the wage level increase are very good at this time. As per our opinion, we may see a preliminary injunction by a federal court judge in New Jersey by end of October if everything goes fine.

The options are very limited for people IT consulting companies like TCS, Infosys, HCL, etc as they cannot file an H1B extension, transfer, or amendment without increasing their employee’s wage level.

One possible option is to move the employee to a lower wage level area to comply with new wage levels. But, moving is not always possible and hence the result of this lawsuit is very critical for their business model.

H1B Wage Level Calculator

The news was first reported on Law 360 as case ITServe Alliance Inc. et al. v. Scalia et al., case number 3:20-cv-14604, in the U.S. District Court for the District of New Jersey.

Via Immigration attorney Cyrus Mehta’s Tweet:


Written by AM22Tech Team
  AM22Tech Team