DOL

ISSUANCE AND RECEIPT OF A PWD

1. How can I request that the National Prevailing Wage Center issue me an hourly wage instead of an annual wage?

   The employer may request an hourly wage by entering "Request Hourly Wage" in the Job Duties block (D.a.6) of the ETA Form 9141.
   Please note: Due to the nature of some occupations where the norm for the occupation is not the standard 2080 hour work year, the Occupational Employment Statistics (OES) survey does not provide an hourly wage. In such instances, the NPWC will not be able to issue the requested hourly wage, as will be indicated in a note on the prevailing wage determination.

Revised June 21, 2012

AFFILIATED OR RELATED ENTITY

1. In order to issue a Prevailing Wage Determination (PWD), how does the NPWC decide between Research & Development (R&D) and non-R&D occupations under the American Competitiveness and Workforce Improvement Act (ACWIA)?

   R&D positions directly conduct or support a research effort. Non-R&D positions support administrative functions such as finance and technical facilities support. Employers should provide clear job duties that explain if the position supports R&D or non-R&D.

   When the position combines elements from both R&D and non-R&D occupations, the NPWC will select the occupation with the highest wage in the same manner as other combinations of occupations. The PWD will only show the occupation with the highest wage.

   There are nine standard occupations with wage data reported into the categories of R&D and non-R&D:

June 21, 2012

1. For Ski Instructors and Snowboard Instructors, does the adoption of the 2010 SOC change the occupation the NPWC will use to determine the wage?

   In the 2000 iteration of the Standard Occupational Classification (SOC) codes used by the Bureau of Labor Statistics in the Occupational Employment Statistics wage surveys, the job opportunity of "Ski Instructors and Snowboard Instructors" was categorized under SOC classification 39-9031, Fitness Trainers and Aerobics Instructors. However, the SOC reclassification that was finalized in 2010 updated this occupation. The new SOC for this position is 25-3021, Self-Enrichment Education Teachers, which now encompasses most sports instructors.

June 21, 2012

1. For Oyster Shuckers, does the adoption of the 2010 SOC change the occupation the NPWC will use to determine the wage?

   In the 2000 iteration of the Standard Occupational Classification (SOC) codes used by the Bureau of Labor Statistics in the Occupational Employment Statistics wage surveys, the job opportunity of "Oyster Shuckers" was categorized under SOC classification 51-9198 - Helpers - Production workers. However, the SOC reclassification that was finalized in 2010 clarifies the occupation to be used by listing Oyster Shucker as a sample title under the revised SOC of 51-3022, Meat, Poultry, and Fish Cutters and Trimmers. The O*Net crosswalk has not been updated to incorporate changes from the 2010 SOC and continues to provide the old code.

June 21, 2012

1. What documentation does the NPWC require in order to show an employer meets the definition of an affiliated or related nonprofit entity under the Department's regulations at 20 CFR §656.40(e)(1)(ii)?

   The NPWC researches entities that may be covered by the wage provisions of ACWIA. When a definitive decision cannot be reached, the NPWC will send a Request for Information (RFI) for documentation demonstrating how the employer meets the definition of an affiliated or related nonprofit entity.

   The first element is the non-profit status of the employer. A letter issued from the Internal Revenue Service stating the employer, under the FEIN on the application, has an appropriate non-profit status, will typically be sufficient for this purpose.

   The second element is affiliation with the institution of higher education, which may be demonstrated through any of the following:

   1) Shared ownership of the nonprofit entity and the institution of higher education either directly or by a parent entity. This includes branch, subsidiary and cooperative relationships.
   2) An oversight group (board, committee, et al) with the authority to direct the members of both the nonprofit entity and the institution of higher education.
   3) An agreement requiring a position to have decision making authority in both entities. For example, the position of Chief of Radiology at the Hospital will also be the Chair of the Radiology Department at the Medical School.
   4) Shared responsibility for conducting the qualifying activity. For example, the Medical School and the Hospital jointly establish the curricula for medical resident and fellowship programs. This includes situations involving several entities, such as a residency program where specific portions take place at separate hospitals and/or medical schools. In such a situation, all of the non-profit entities involved in the residency program would be considered affiliated or related nonprofit entities and covered by the ACWIA wage provisions.

   Examples where an institution does not meet ACWIA wage coverage include:

   1) Agreements where the institution of higher education is in essence 'renting space' from the requesting entity. Example statement: The Hospital will allow access to its facilities at the reimbursement rate negotiated each year and will remit appropriate charges for medical services provided to the Medical School.
   2) Conferring of unpaid faculty status upon a person in the employ of the requesting nonprofit entity by an institution of higher education.

   Additionally, the number of cross-designated employees in relation to the total number of employees in the particular program is a relevant factor in establishing affiliation. When a requesting employer has a notable number of employees cross-designated with an institution of higher education, especially when combined with a notable number of participants, then ACWIA wage coverage is indicated. For example, a large hospital employs 80 physicians and 200 nurses. 40 of those physicians and 100 of those nurses participate in the clinical training of 120 medical residents and 200 nursing students from a particular institution of higher education; the ratio is notable and ACWIA wage coverage is appropriate. Conversely, when the numbers of cross-designated employees are low, then coverage may not be indicated. For example, a mid-sized hospital has a single surgeon with part time faculty status at a particular medical school and a single fellow in training. The number of cross-designated employees and the number of participants are so small that ACWIA wage coverage is not appropriate.

June 21, 2012

PERM PREVAILING WAGES

Must I list alternative job requirements on the ETA Form 9141? Is there a section on the ETA Form 9141 where I can list the alternative requirements?

If an employer intends to accept alternative job requirements and to list such requirements on the ETA Form 9089, the employer must list its alternative job requirements on the ETA Form 9141. Specifically, the employer should list its alternative job requirements in either the Special Requirements block (D.b.5) or the Job Duties block (D.a.6) of the ETA Form 9141. This is to reflect a line of BALCA decisions affirming our ability to require the same information on the job opportunity on both forms.

It should be noted, as will be indicated in a note on the prevailing wage determination, that the NPWC will not consider the alternative job requirements when making the wage determination; prevailing wage determinations will be based ONLY on the job requirements listed by the employer in the Minimum Requirements block (D.b) of the ETA Form 9141. Nor does the NPWC make any evaluation of the substantial equivalence of the alternative job requirements to the primary minimum job requirements listed. That evaluation will continue to be made in the adjudication of the Application for Permanent Employment Certification.

Revised June 21, 2012

ISSUANCE AND RECEIPT OF A PWD

1. How can I request that the National Prevailing Wage Center issue me an hourly wage instead of an annual wage?

   The employer may request an hourly wage by entering "Request Hourly Wage" in the Job Duties block (D.a.6) of the ETA Form 9141.
   Please note: Due to the nature of some occupations where the norm for the occupation is not the standard 2080 hour work year, the Occupational Employment Statistics (OES) survey does not provide an hourly wage. In such instances, the NPWC will not be able to issue the requested hourly wage, as will be indicated in a note on the prevailing wage determination.

Revised June 21, 2012

AFFILIATED OR RELATED ENTITY

1. In order to issue a Prevailing Wage Determination (PWD), how does the NPWC decide between Research & Development (R&D) and non-R&D occupations under the American Competitiveness and Workforce Improvement Act (ACWIA)?

   R&D positions directly conduct or support a research effort. Non-R&D positions support administrative functions such as finance and technical facilities support. Employers should provide clear job duties that explain if the position supports R&D or non-R&D.

   When the position combines elements from both R&D and non-R&D occupations, the NPWC will select the occupation with the highest wage in the same manner as other combinations of occupations. The PWD will only show the occupation with the highest wage.

   There are nine standard occupations with wage data reported into the categories of R&D and non-R&D:

June 21, 2012

1. For Ski Instructors and Snowboard Instructors, does the adoption of the 2010 SOC change the occupation the NPWC will use to determine the wage?

   In the 2000 iteration of the Standard Occupational Classification (SOC) codes used by the Bureau of Labor Statistics in the Occupational Employment Statistics wage surveys, the job opportunity of "Ski Instructors and Snowboard Instructors" was categorized under SOC classification 39-9031, Fitness Trainers and Aerobics Instructors. However, the SOC reclassification that was finalized in 2010 updated this occupation. The new SOC for this position is 25-3021, Self-Enrichment Education Teachers, which now encompasses most sports instructors.

June 21, 2012

1. For Oyster Shuckers, does the adoption of the 2010 SOC change the occupation the NPWC will use to determine the wage?

   In the 2000 iteration of the Standard Occupational Classification (SOC) codes used by the Bureau of Labor Statistics in the Occupational Employment Statistics wage surveys, the job opportunity of "Oyster Shuckers" was categorized under SOC classification 51-9198 - Helpers - Production workers. However, the SOC reclassification that was finalized in 2010 clarifies the occupation to be used by listing Oyster Shucker as a sample title under the revised SOC of 51-3022, Meat, Poultry, and Fish Cutters and Trimmers. The O*Net crosswalk has not been updated to incorporate changes from the 2010 SOC and continues to provide the old code.

June 21, 2012

1. What documentation does the NPWC require in order to show an employer meets the definition of an affiliated or related nonprofit entity under the Department's regulations at 20 CFR §656.40(e)(1)(ii)?

   The NPWC researches entities that may be covered by the wage provisions of ACWIA. When a definitive decision cannot be reached, the NPWC will send a Request for Information (RFI) for documentation demonstrating how the employer meets the definition of an affiliated or related nonprofit entity.

   The first element is the non-profit status of the employer. A letter issued from the Internal Revenue Service stating the employer, under the FEIN on the application, has an appropriate non-profit status, will typically be sufficient for this purpose.

   The second element is affiliation with the institution of higher education, which may be demonstrated through any of the following:

   1) Shared ownership of the nonprofit entity and the institution of higher education either directly or by a parent entity. This includes branch, subsidiary and cooperative relationships.
   2) An oversight group (board, committee, et al) with the authority to direct the members of both the nonprofit entity and the institution of higher education.
   3) An agreement requiring a position to have decision making authority in both entities. For example, the position of Chief of Radiology at the Hospital will also be the Chair of the Radiology Department at the Medical School.
   4) Shared responsibility for conducting the qualifying activity. For example, the Medical School and the Hospital jointly establish the curricula for medical resident and fellowship programs. This includes situations involving several entities, such as a residency program where specific portions take place at separate hospitals and/or medical schools. In such a situation, all of the non-profit entities involved in the residency program would be considered affiliated or related nonprofit entities and covered by the ACWIA wage provisions.

   Examples where an institution does not meet ACWIA wage coverage include:

   1) Agreements where the institution of higher education is in essence 'renting space' from the requesting entity. Example statement: The Hospital will allow access to its facilities at the reimbursement rate negotiated each year and will remit appropriate charges for medical services provided to the Medical School.
   2) Conferring of unpaid faculty status upon a person in the employ of the requesting nonprofit entity by an institution of higher education.

   Additionally, the number of cross-designated employees in relation to the total number of employees in the particular program is a relevant factor in establishing affiliation. When a requesting employer has a notable number of employees cross-designated with an institution of higher education, especially when combined with a notable number of participants, then ACWIA wage coverage is indicated. For example, a large hospital employs 80 physicians and 200 nurses. 40 of those physicians and 100 of those nurses participate in the clinical training of 120 medical residents and 200 nursing students from a particular institution of higher education; the ratio is notable and ACWIA wage coverage is appropriate. Conversely, when the numbers of cross-designated employees are low, then coverage may not be indicated. For example, a mid-sized hospital has a single surgeon with part time faculty status at a particular medical school and a single fellow in training. The number of cross-designated employees and the number of participants are so small that ACWIA wage coverage is not appropriate.

June 21, 2012

PERM PREVAILING WAGES

Must I list alternative job requirements on the ETA Form 9141? Is there a section on the ETA Form 9141 where I can list the alternative requirements?

If an employer intends to accept alternative job requirements and to list such requirements on the ETA Form 9089, the employer must list its alternative job requirements on the ETA Form 9141. Specifically, the employer should list its alternative job requirements in either the Special Requirements block (D.b.5) or the Job Duties block (D.a.6) of the ETA Form 9141. This is to reflect a line of BALCA decisions affirming our ability to require the same information on the job opportunity on both forms.

It should be noted, as will be indicated in a note on the prevailing wage determination, that the NPWC will not consider the alternative job requirements when making the wage determination; prevailing wage determinations will be based ONLY on the job requirements listed by the employer in the Minimum Requirements block (D.b) of the ETA Form 9141. Nor does the NPWC make any evaluation of the substantial equivalence of the alternative job requirements to the primary minimum job requirements listed. That evaluation will continue to be made in the adjudication of the Application for Permanent Employment Certification.

Revised June 21, 2012

The Office of Foreign Labor Certification has posted five factsheets containing the FY 2012 selected statistics for the

• When an employer places a job order with a State Workforce Agency (SWA), is it required to indicate its name on the job order posting? If so, what should the employer do if the SWA's procedures do not allow for the employer's name to be visible to job seekers?

  In accordance with PERM regulations at 20 CFR §656.17(f)(1) and the preamble (69 FR 77326, 77348 (Dec. 27, 2004)), as with any advertisement, the employer's name must appear on the job order placed with the SWA. SWA procedures that allow for applicants to view the employer name only after applying for the position do not satisfy the requirement that the employer's name be in the job order. If the SWA's job placement process results in the name of the employer not being visible to job seekers, the employer must include its name in the body of the job order so that the employer's name is visible to potential applicants when viewing the job order.
  June 11, 2012

• Must an employer receive all resumes that are submitted to a State Workforce Agency (SWA) through a SWA-posted job order? If yes, what must the employer do to ensure the SWA refers to it all U.S. workers?

  In the preamble to the PERM regulations (69 FR 77326, 77331 (Dec. 27, 2004)), the Department of Labor indicated that SWA job order "[r]eferrals will be handled the same way they are handled for other job orders, which may vary from state to state." However, the PERM regulations at 20 CFR §656.10(c)(8) also state that the employer must attest that "[t]he job opportunity has been and is clearly open to any U.S. worker." Therefore, the employer must receive all resumes submitted to the SWA through a posted job order. To ensure that the SWA refers to it all U.S. workers, the employer must indicate to the SWA, pursuant to each SWA's specific process, that it wants to receive all resumes and all types of referrals (e.g., qualified, best qualified, minimally qualified, etc.). This instruction to the SWA ensures that the employer is accepting and reviewing the resumes of all U.S. workers and determining which of the applicants meets the minimum qualifications for the job opportunity, as well as gives all U.S. workers access to such jobs.
  June 11, 2012

• How long must job orders be posted to be compliant with PERM requirements? Are there further requirements as to whom the job order content must be accessible and/or visible for the required time period?

  Under the PERM regulations at 20 CFR §656.17(e)(1)(i)(A) and §656.17(e)(2)(i), the employer's job order for both professional and nonprofessional occupations must be placed with the SWA serving the area of intended employment for a period of 30 days. Moreover, during this 30-day period, the job order must be accessible and visible to the public at large, i.e., the entire pool of job seekers potentially qualified for the position. Therefore, where a SWA has a special exemption of making job orders accessible to only certain groups, such as veterans, the employer must still ensure that the job order is accessible and/or visible to the public for the full required period of 30 days. The employer can accomplish this by instructing the SWA to post the job for the required 30-day time period only after the days during which the SWA holds the job order open only to the select group.

  For example: If the job order start date is Monday, May 7, 2012, the end date must be Wednesday, June 6, 2012, to meet the 30-day job order posting requirement. However, if the SWA places a hold on the job order, so that it is only accessible and/or visible to a certain group, from Monday, May 7, 2012, until Wednesday, May 9, 2012, then the employer must ask the SWA to keep the job order open, and accessible and/or visible to the public at large, from Thursday, May 10, 2012 until Saturday, June 9, 2012, to comply with the 30-day requirement.
  June 11, 2012

In a continued effort to assist H-2A employers with preparing their agricultural job orders and applications, the Department has revised the H-2A Filing Tips to alert employers to common filing mistakes which can delay the processing of an H-2A application. The H-2A Filing Tips may be found on the H-2A program page under Factsheets and Filing Tips.

The OFLC is pleased to announce the expansion of the H-2A Ombudsman Program to include the H-2B Program community. The Ombudsman Program is here to facilitate the fair and equitable resolution of concerns that arise within the H-2A and H-2B filing communities, by conducting independent and impartial inquiries into issues related to the administration of these programs.

[Federal Register Volume 77, Number 95 (Wednesday, May 16, 2012)]
[Rules and Regulations]
[Pages 28764-28765]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-11859]

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DEPARTMENT OF LABOR

Employment and Training Administration

20 CFR Part 655

RIN 1205-AB58

DOL page with revised Frequently Asked Questions on the Temporary Agricultural H-2A Program regarding Federal tax withholding applicable to H-2A workers available at OFLC website under the heading H-2A Program & subheading Job Offers, Obligations & Assurances/Rates of Pay.

What federal tax withholdings are applicable to H-2A workers?

Questions regarding the taxation and Federal withholding from H-2A workers fall under the jurisdiction of the Internal Revenue Service (IRS). IRS guidance states that foreign agricultural workers temporarily admitted into the United States on H-2A visas are exempt from Federal Unemployment Tax, U.S. Social Security and Medicare taxes on compensation paid to them for services performed in connection with the H-2A visa. Additionally, IRS guidance states that compensation paid to H-2A workers for services performed in connection with the H-2A visa is not considered to be “wages” for purposes of Federal income tax withholding, and is therefore not subject to mandatory withholding.

The IRS requires an employer to begin backup withholding if the H-2A worker does not have a Social Security Number or Individual Taxpayer Identification Number and the aggregate annual payments made to the worker are $600 or more. For more information on Federal withholdings for H-2A workers, see the IRS website at http://www.irs.gov/businesses/small/international/article/0,,id=96422,00.html. Employers should consult the IRS website to ensure that the IRS has not updated their guidance in regards to this issue.

An H-2A worker may request voluntary Federal income tax withholding. Such a request must be evidenced by a signed form W-4 provided by the worker to the employer. Note: Only Federal income tax is to be withheld. Withholding for Social Security or Medicare is not permitted, and the employer may be held responsible for reimbursement of improperly withheld amounts (see below).

Since State income tax law varies, the employer should consult with the appropriate State tax authorities to determine whether the wages of H-2A workers are subject to state income taxes.

It is important to remember that the H-2A regulations at 20 CFR 655.122(m) and 655.122(p) require the H-2A employer to pay wages when due and to ensure that all wage payments to H-2A workers are received free and clear of any improper deductions. Wages either improperly withheld or withheld based on a voluntary agreement but not remitted to the appropriate agency may be considered improper deductions.

If Federal income tax or U.S. Social Security and Medicare taxes have been improperly withheld from H-2A workers and remitted to the appropriate government agency, the Wage and Hour Division will take into consideration employer reimbursement or assistance provided to the workers to recapture such amounts in determining violations and potential penalties. The employer can evidence reimbursement to H-2A workers and the employer may seek a refund of over reported amounts using Form 941-X, Adjusted Employer’s Quarterly Federal Tax Return or Claim for Refund (see http://www.irs.gov/pub/irs-pdf/f941x.pdf). An alternate method exists in which the employer provides documented assistance to H-2A workers in completing Form 843, Claim for Refund and Request for Abatement (see www.irs.gov/pub/irs-pdf/f843.pdf); however, the IRS indicates that workers will need to provide copies of their W-2, H-2A visa, I-94 (indicating date of arrival/departure), and a statement indicating that the withheld taxes need to be returned (either from the employer or employee, who would indicate that this was requested of the employer but not provided).

Additionally, the National Taxpayer Advocate and Low Income Taxpayer Clinics are potential sources of targeted assistance to the worker regarding proper tax withholding, as indicated per http://www.irs.gov/advocate/index.html?portlet=110

The Department of Labor has posted a revised Frequently Asked Question (FAQ) regarding the Permanent (PERM) Program and the consequences of withdrawing an application in Supervised Recruitment.

What are the consequences of an employer requesting to withdraw an application undergoing Supervised Recruitment?

The Office of Management and Budget has approved the Department's request to extend the ETA Form 9142, Appendices A.2 and B.1 and associated instructions which were previously set to expire on April 30, 2012. The new expiration date for these forms is October 31, 2012.

As of the date of this announcement, future H-2A applications should be filed using the extended ETA Form 9142 and Appendix A.2 which reflect the October 31, 2012 expiration date.

On April 26, 2012, the Temporary Non-agricultural Employment of H-2B Aliens in the United States, Final Rule, 77 FR 10038, Feb. 21, 2012 was preliminarily enjoined by the U.S. District Court for Northern District of Florida, Pensacola Division in Bayou Lawn & Landscape Services, et al. v. Hilda L. Solis, et al., 12-cv-00183-RV-CJK, and was never implemented.