Prevailing Wage Determination (PWD) is the minimum wage DOL determines the employer must offer for the position. It is computed from the BLS Occupational Employment Statistics (OES) survey and accounts for the role (SOC code), the region (MSA), and the required qualification level.
The 4 wage levels
Level 1 (Entry): roles that require basic knowledge and close supervision. Typically new graduates.
Level 2 (Qualified): roles requiring solid understanding and some experience. This is the most common PERM level.
Level 3 (Experienced): requires strong experience, autonomy, and the ability to make decisions within the role.
Level 4 (Fully Competent): advanced roles with responsibility over complex projects, strategic decisions, and team management.
Each level maps to a percentile of real local wages for that SOC code. Level 1 ≈ 17th, Level 2 ≈ 34th, Level 3 ≈ 50th, Level 4 ≈ 67th.
How is the level determined?
The level is set by a points system based on: years of experience required, education, supervision over other staff, specific requirements (languages, certifications), and the complexity of the job duties.
Requiring far more experience or extras than typical for the role pushes the level — and the minimum wage — up. That is why many employers tune the job description to keep the case at Level 2.
What to check before accepting the offer
The offered wage must equal or exceed the determined prevailing wage. If the actual wage drops below it before the Green Card, the case can be jeopardized.
You can look up the reference using public tools like DOL's FLAG Wage Search Tool. Verifying the level and amount before signing the offer letter avoids problems down the road.