H-1B Wage Violations: Your Rights, Bench Time, and Remedies

H-1B visa holders often feel trapped when an employer stops paying on time or pays less than promised. Many worry that speaking up will cost them their status or their job. In reality, federal law gives strong wage protections and a clear process to follow when things go wrong. The steps can feel stressful, but if you move in an organized way and know what to expect at each stage, you can protect both your income and your immigration future.

Step 1: Confirm What You Should Be Paid

Before you act, get a clear picture of what you are legally owed under Minimum Wage Requirements for H-1B workers.

Under H-1B rules, your employer must always pay you at least the higher of:

• The prevailing wage for your job in that location, or
• The actual wage paid to similar workers at the same company with like experience and skills.

This wage is listed on your original H-1B petition (Form I-129, available through USCIS) and on the certified Labor Condition Application (LCA) your employer filed with the Department of Labor, usually through the LCA program page.

What to gather now:

• Offer letter and any contract
• Pay stubs and bank records
• Copies of your H-1B approval notice and, if possible, the LCA
• Emails or messages about pay, bench time, or project changes

What to check for:

• Are you being paid less than the amount on the LCA or H-1B petition?
• Has your employer stopped paying you while you’re still “on the books”?
• Is your pay reduced by “fees” that push your wage below the required level?

Timeframe: 1–3 days to collect documents and check what salary or hourly rate you should receive.

If the answer to any of the above is yes, your rights may have been violated.

Step 2: Understand When Non-Payment Becomes Illegal

Many H-1B visa holders are “benched” between projects or told they won’t be paid until placed at a client site. Under H-1B law, that is not allowed if you are still employed.

Your employer must pay you:

• From the day you report for work under the approved petition
• During any “non-productive time” (benching) that happens because:
  • The employer doesn’t have work for you, or
  • You don’t yet have a required license or permit
• Until there is a bona fide termination (you are properly let go and USCIS is notified)

You don’t lose this right if:

• The client project ends
• The employer is “looking for a new project”
• The company has cash flow problems

Also check for illegal deductions, such as:

• H-1B filing fees or ACWIA fees taken out of your pay
• Required tools or equipment charges
• Business travel costs deducted in a way that lowers your wage below the required amount

Timeframe: 1–2 days to compare your situation to these rules.

Note: According to analysis by VisaVerge.com, these are among the most common wage violations affecting H-1B visa holders, especially in staffing and consulting companies.

Step 3: Weigh Your Options and Personal Risk

Once you see a likely violation, you must choose among several paths. This is where you balance money, immigration status, and personal safety.

Your options include:

1. Raise the issue with your employer in writing—clear, calm, and specific.
2. Quietly search for a new job and plan an H-1B transfer.
3. File a complaint with the Department of Labor’s Wage and Hour Division (WHD).
4. Do a combination of the above based on your comfort level.

Important protections and realities:

• Employers are not allowed to:
  • Fire you because you asked about unpaid wages
  • Cut your hours or pay as punishment
  • Threaten immigration problems because you reported them
• Emotional reality: Many workers fear retaliation. H-1B rules ban punishment for asserting your rights, but record-keeping and documentation help if disputes escalate.

Practical tips at this stage:

• Speak with an employment or immigration lawyer if possible, especially if discrimination or harassment is involved.
• Keep a written record of conversations about pay or hours.
• Avoid signing any “settlement” or “release” without legal advice, especially if it mentions liquidated damages or penalties.

Timeframe: Several days to a few weeks, depending on how quickly you can get legal advice or a new job offer.

Step 4: Decide Whether to File a DOL Complaint

If your employer refuses to fix the problem or you’ve already left the job, you can take formal action with the Department of Labor.

How to reach WHD:

• Phone: 1-866-487-9243
• Find a local office via the WHD contact page

Key rules for filing:

• You generally have 12 months after the last violation to file a complaint.
• You do not need exact calculations of every missing dollar if your employer did not keep proper records.
• If records are missing or incomplete, the burden shifts to the employer to prove what they paid.

What to be ready to provide:

• Job title, work location, and dates of employment
• Your agreed wage and what you actually received
• Dates and details of bench time or unpaid periods
• Copies of contracts, pay stubs, and any messages about pay or hours

Timeframe: 1–2 weeks to prepare and file the complaint, depending on how quickly you gather documents and reach WHD.

Note: WHD can keep your identity confidential in many cases, which may reduce fear of retaliation, though confidentiality is not absolute.

Step 5: What Happens During a WHD Investigation

After you file, WHD will review your complaint to determine reasonable cause to investigate. If they open a case, they will contact your employer, request payroll records, and may interview you and other workers.

Investigation timeline:

• Initial review: a few weeks to a few months
• Full investigation and decision: often several months, sometimes longer for complex or multi-worker cases

During the investigation:

• Expect to answer follow-up questions or provide more documents.
• You can usually remain in the United States while the case is pending if you still hold status (for example, through a new employer).
• If the employer’s records are poor or missing, WHD can rely heavily on your notes and pay history.

Possible outcomes:

• Back wages: payment of the difference between what you were paid and what you should have been paid under prevailing/actual wage rules. This can cover the entire underpayment period, not just the last 12 months.
• Front pay: in some cases, if your employer ended your job early without proper termination steps (e.g., failing to notify USCIS or not offering return travel), WHD can order pay through the end of the H-1B period.
• Civil monetary penalties: WHD can fine employers $1,000 to $35,000 per violation, depending on severity and willfulness.

Fines go to the government, not to you, but they signal that wage theft has real costs.

Real-world examples:

• An employer paid more than $250,000 in back wages for not paying the prevailing wage during bench time, plus about $67,000 in civil money penalties.
• Another firm owed over $300,000 in back pay and penalties for H-1B and LCA violations.

Step 6: Protect Your Immigration Status During and After the Process

While pursuing wages, protect your H-1B status and plan next steps carefully.

Key immigration points:

• If your employer truly ends your job, they must offer to pay reasonable return transportation to your home country. They cannot charge you a “penalty” for early resignation.
• Some contracts mention “liquidated damages.” Courts will allow these only if they are a fair estimate of real loss, not punitive. State law controls how these are judged.
• If you find a new employer, they must file a new H-1B petition (Form I-129) with USCIS. The USCIS H-1B Specialty Occupations page explains the basic rules: USCIS H-1B Specialty Occupations.

Timeframes and actions:

• Job search and H-1B transfer: often 2–8 weeks to find an employer and file, depending on field and market conditions.
• USCIS processing for the transfer petition can take weeks to months, unless premium processing is used.

Keep these documents safe:

• Copies of your DOL complaint or WHD correspondence, if any
• All new job contracts and filings
• Proof of continued legal stay (I-94, USCIS receipts)

If you later need to show employer misconduct, this documentation helps explain employment gaps or status questions.

Step 7: Use Your Rights to Protect Yourself and Others

Many H-1B workers quietly accept unpaid bench time or underpayment out of fear. The law is designed to stop employers from cutting wages for foreign workers and undercutting U.S. workers.

Benefits of reporting:

• You may recover substantial back wages.
• You help stop future abuse of H-1B visa holders in your company.
• You support enforcement of Minimum Wage Requirements and prevailing wage rules across the industry.

The Department of Labor continues to bring cases against employers who underpay or misuse the H-1B program. You’re not powerless—careful steps (documenting your case, seeking advice, and using the complaint process) can protect both your paycheck and your long-term plans in the 🇺🇸 United States.

Quick Reference Timeline

If you want, I can:
– Help you draft a written complaint to present to your employer, or
– Provide a checklist of documents to collect before contacting WHD.