The Trump administration is proposing steep increases to H-1B wage minimums, Bloomberg Politics reports. Under the proposal, an entry-level software engineer in San Francisco would need to earn at least $162,000 annually to qualify — roughly 30% more than the current threshold. Dallas would jump to $113,000; New York to $132,000.
The strategic read: this isn't a labor-protection play, it's a restriction play dressed as one. Raising the wage floor reduces H-1B headcount without banning the visa outright — giving the administration a policy win with restrictionist voters while handing large tech firms cover to complain without actually threatening their senior-engineer pipelines.
Who gets squeezed: mid-tier outsourcing firms and staffing shops that arbitrage the current minimums. Who escapes relatively clean: hyperscalers who were paying above these floors already. The proposal consolidates market power upward while the White House claims it's protecting American workers.