A New Era of H-1B Enforcement Begins
The U.S. Department of Labor (DOL) has launched Project Firewall, a sweeping enforcement initiative aimed at strengthening oversight of the H-1B visa program and protecting U.S. workers from wage suppression and job displacement. Announced on September 19, 2025, the initiative marks a turning point in how the federal government investigates employer compliance and coordinates enforcement across agencies.
Project Firewall expands the DOL’s authority to open investigations, increases interagency data sharing, and focuses on identifying systemic patterns of abuse in the H-1B program rather than isolated violations. For employers and immigration attorneys, this development signals a significant compliance recalibration.
How Project Firewall Came to Be
The H-1B program allows U.S. employers to hire foreign professionals in specialty occupations that require a bachelor’s degree or higher. In exchange, employers must guarantee that foreign workers are paid the prevailing wage and that hiring them will not negatively affect U.S. workers’ conditions.
Historically, DOL investigations into H-1B practices were largely reactive, triggered by worker complaints or random audits. Project Firewall shifts that model toward proactive, data-driven enforcement. The initiative also gives the DOL Secretary the authority to certify investigations directly when there is “reasonable cause” to believe a violation has occurred, even without a formal complaint.
The program was introduced following years of criticism from lawmakers and labor advocates who argued that the H-1B system was being used to undercut U.S. wages, particularly in the tech and consulting sectors.
Key Features of Project Firewall
1. Expanded Investigative Authority
Under Project Firewall, the DOL can initiate Secretary-certified investigations without external complaints. This change broadens the scope of inquiry and allows enforcement teams to target employers identified through data analytics, site visits, and coordination with other federal agencies such as USCIS and the Department of Justice
2. Multi-Agency Coordination
The initiative formalizes a framework for interagency collaboration, integrating intelligence from USCIS, the Department of Homeland Security (DHS), and the Equal Employment Opportunity Commission (EEOC). The agencies will share information related to wage compliance, worker classification, and fraud indicators
3. Data Analytics and Targeted Enforcement
Project Firewall employs advanced data analytics to identify anomalies such as wage discrepancies, repeated use of Level I prevailing wages, and inconsistent worksite records. The DOL can now cross-reference public data from Labor Condition Applications (LCAs) and USCIS filings to flag potential violations before an audit or site visit begins
4. Increased Penalties and Debarment Risks
Employers found in violation may face steep civil penalties, back-wage obligations, and potential debarment from filing future H-1B petitions. The DOL has emphasized that the project will prioritize “high-impact enforcement actions” designed to deter large-scale noncompliance
Key Takeaways for Compliance Planning
- Update LCA and Petition Records: Confirm that every H-1B worker’s job title, wage, and worksite remain accurate and properly documented
- Reinforce Internal Oversight: Assign compliance leads or teams to monitor recordkeeping and posting requirements across all offices and client sites
- Prepare for Site Visits: Conduct mock audits and ensure staff know how to respond to DOL or USCIS inspectors
- Stay Current with Policy Guidance: The DOL has stated that additional updates and audit protocols will be released in early 2026
- Advise Clients Proactively: Firms should integrate compliance reviews into annual client check-ins, rather than waiting for audits or investigations
Stay compliant under Project Firewall—Talk to CampLegal today.
