Employer Alert: DOL Launches “Project Firewall” — Heightened H-1B Enforcement

On September 19, 2025, the Department of Labor (DOL) announced Project Firewall, a new enforcement initiative targeting H-1B program compliance. While no new employer obligations have been introduced, employers should expect heightened scrutiny and more frequent investigations.

What’s New Under Project Firewall

Secretary-Certified Investigations: DOL plans to expand the use of investigations certified by the Secretary of Labor, which authorizes enforcement in a broader range of circumstances — including situations where no outside complaint has been made. Although the Secretary has always held this authority upon a finding of reasonable cause, Project Firewall signals that it will now be used more actively.

Broader Inter-Agency Coordination: DOL will share investigation and enforcement findings and coordinate with other agencies, including the Department of Justice, the Equal Employment Opportunity Commission, and U.S. Citizenship and Immigration Services.

More Proactive and Rigorous Enforcement: Employers should expect H-1B compliance investigations to become more proactive, rigorous, and documentation-focused, with an increased likelihood of review even absent a worker complaint.

Employer Obligations (Unchanged)

File a certified Labor Condition Application (LCA) and comply with wage, working condition, and notice requirements.

Provide proper notice to U.S. workers (posting or electronic) within 30 days before filing the LCA.

Maintain accurate public access files, payroll records, and documentation of wage and benefit practices.

Pay the required wage (prevailing or actual, whichever is higher), including for nonproductive time, and provide benefits on the same basis as U.S. workers.

Avoid displacing U.S. workers and comply with additional attestations if H-1B-dependent or a willful violator.

Key Takeaways for Employers

No new legal obligations have been created under Project Firewall.

The enforcement posture has changed: employers face a higher likelihood of investigation, initiated either by complaint, audit, or Secretary certification.

Preparation is critical: ensure your LCAs, postings, prevailing wage determinations, and public access files are accurate and up to date.

Summary: Project Firewall marks a shift from reactive to more proactive enforcement. Employers should review their compliance practices now to be prepared for heightened oversight.