If you’re hiring an H-1B worker, the Department of Labor LCA is the wall you have to climb first. It’s not just a form. It’s a legal minefield. Most people think it’s a quick check-the-box step before the "real" work of the I-129 petition begins, but honestly? That’s where the trouble starts. If the Department of Labor (DOL) finds even a tiny mismatch between your job description and the prevailing wage, the whole process grinds to a halt.
You’re basically telling the government two things. First, that you’re paying the foreign worker a fair wage. Second, that hiring them won't hurt the working conditions of your current U.S. staff. Sounds simple. It isn't.
The Wage Floor Trap
The Department of Labor LCA (Labor Condition Application) revolves almost entirely around money. Specifically, the "prevailing wage." This is the average wage paid to similarly employed workers in a specific geographic area. The DOL uses the Occupational Employment Statistics (OES) survey to set these rates.
Here is the kicker. You must pay either the prevailing wage or the "actual wage"—whichever is higher. The actual wage is what you pay other employees in your company with similar experience and duties. If you’re hiring a junior developer in San Francisco, you can't just pick a random number. You have to look at the DOL’s specific data for that county. If you underpay by even a few cents an hour, your LCA gets rejected. Or worse, you get audited later.
I've seen companies get nailed because they used the wrong "Level." The DOL has four wage levels. Level I is entry-level. Level IV is for seasoned pros. A common mistake is trying to sneak a complex senior role into a Level I wage bracket to save money. The DOL sees right through that. They look at the job duties you listed. If you say the person needs 10 years of experience but you’re paying Level I wages, you’re asking for an RFE (Request for Evidence) or a straight-up denial.
The 10-Day Posting Rule
Transparency is a huge deal for the DOL. You have to notify your current employees that you’re filing a Department of Labor LCA. This usually means posting a physical notice in two conspicuous places at the worksite for 10 consecutive business days.
What counts as conspicuous? The breakroom. The coffee station. Near the printer.
✨ Don't miss: Syrian Dinar to Dollar: Why Everyone Gets the Name (and the Rate) Wrong
In a world of remote work, this has become a headache. If the employee is working from home, you might need to post the notice at their house or use an electronic notification system like an internal company portal or an email blast to the relevant department. If you forget to do this, the LCA is technically invalid. Imagine getting your H-1B approved only to have it revoked three years later during an H-1B site visit because you didn't have proof of posting. It happens. Seriously.
Public Access Files: Your Legal Shield
Every employer filing a Department of Labor LCA must maintain a Public Access File (PAF). This isn't something you send to the government. It's something you keep in your office or digitally, ready to show if someone asks to see it. Anyone can ask. A competitor, a disgruntled former employee, or a random person off the street can legally request to see your PAF.
What goes in there?
- A copy of the signed LCA.
- Documentation of the wage rate.
- An explanation of how you determined the prevailing wage.
- Proof that you notified your employees.
- A summary of the benefits offered to U.S. workers versus the H-1B worker.
Keep it organized. If the DOL investigators show up and your PAF is a mess—or missing—the fines are astronomical. We are talking thousands of dollars per violation.
Common Mistakes That Kill LCAs
Most rejections are due to "obvious errors." These are things like a typo in the Federal Employer Identification Number (FEIN). If your FEIN hasn't been verified by the DOL’s iCERT or FLAG system before, your LCA will be put on hold. This can add a week or more to your timeline.
Another big one: the dates. Your LCA cannot be filed more than six months before the start date of the employment. If you try to file too early, it's a no-go. If you file too late, your worker might lose their legal status.
🔗 Read more: New Zealand currency to AUD: Why the exchange rate is shifting in 2026
Then there's the "roving employee" problem. If your worker is moving between different client sites, you might need a new Department of Labor LCA for each Metropolitan Statistical Area (MSA). If the new site is within "normal commuting distance," you might just need to post the notice there. But if they move from New York to Austin? You need a whole new LCA. No exceptions.
The Role of ETA Form 9035
The actual form you fill out is the ETA Form 9035. It’s submitted electronically through the FLAG (Foreign Labor Application Gateway) system. The DOL usually processes these in about seven business days.
Wait. Seven days sounds fast, right?
It is, but that’s only if everything is perfect. If the FLAG system flags a "technical inconsistency," you’re back to square one. The system is automated, so it doesn't have "feelings" about your deadline. It just sees a data mismatch and kicks it back.
Why the DOL Cares About "Benching"
"Benching" is a dirty word in immigration law. It’s when an employer stops paying an H-1B worker because there’s no work available—maybe a project ended or a client canceled. Under the Department of Labor LCA regulations, this is illegal.
You signed a document saying you would pay the required wage for the entire duration of the LCA. If the worker is sitting "on the bench" waiting for an assignment, you still have to pay them. The only way to stop paying is if there is a "bona fide termination." This means you fired them, notified USCIS, and offered to pay for their reasonable cost of return transportation to their home country. If you don't do those three things, the DOL can force you to pay back wages for the entire time the worker was benched.
💡 You might also like: How Much Do Chick fil A Operators Make: What Most People Get Wrong
Strategic Moves for Employers
Don't wait until the last minute. FEIN verification can take time if you're a new company. Get that handled weeks before you need to file.
Be honest about the job description. If the job requires a Master’s degree, don't say it only needs a Bachelor’s just to get a lower prevailing wage level. The DOL and USCIS share data. If your LCA says one thing and your I-129 says another, you're dead in the water.
Keep your PAF digital and backed up. Physical folders get lost. Digital folders with clear labels (LCA_Signed, Prevailing_Wage_Source, Posting_Notice_Proof) make audits a breeze.
Actionable Next Steps
To ensure your Department of Labor LCA doesn't become a liability, follow these specific steps immediately:
- Verify your FEIN in the FLAG system before you actually have an urgent filing. This prevents the "New Employer" delay that catches everyone off guard.
- Run a Prevailing Wage check using the FLC Data Center website for your specific ZIP code and SOC (Standard Occupational Classification) code. Do this before you offer a salary to a candidate.
- Create a standardized "Posting Memo" that includes the exact dates the notice was hung up and taken down, signed by a manager or HR representative. This is your "get out of jail free" card during an audit.
- Audit your own Public Access Files once a year. If an LCA has expired, move it to a separate "archived" file, but keep it for at least one year beyond the date of employment end or the date of withdrawal.
- Sync with your payroll department. Ensure the "actual wage" listed on the LCA matches the salary being hit every pay cycle. Discrepancies here are the easiest way for the DOL to issue fines.
Managing the Department of Labor LCA process is about precision and record-keeping. Treat the ETA Form 9035 as a sworn affidavit—because that is exactly what it is.