Federal Register - May 13, 2021
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Source: Federal Register
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Federal Register / Vol. 86, No. 91 / Thursday, May 13, 2021 / Rules and Regulations
and uncertainty among the regulated community over the operative wage rates while the Department conducted its review.
Third, the Department explained that the length of the proposed delay would allow BLS and ETAs OFLC adequate time to compute and validate prevailing wage data covering all occupations and geographic areas, complete and thoroughly test modifications to the OFLC FLAG system, train staff, and conduct sufficient public outreach to ensure an effective and orderly implementation if, following the Departments comprehensive review, the rules changes associated with the computation of wage levels under the Departments four-tiered wage structure ultimately must take effect.
While the Department acknowledged that the proposed delay was significant, the Department explained that, based on its initial review and the concerns raised, it was clear that a significant amount of time was needed to consider all aspects of the rulemaking, including the underlying methodology employed, and relevant studies and data. The Department sought public comment on the proposed delay, including whether it should delay the effective date and the transition dates of the Final Rule and whether the proposed period of delay was an appropriate length of time or whether another length of time may be more appropriate. The Department also sought comment on:
Whether, rather than delaying implementation as proposed herein, the Department should allow the rule, and any accompanying transition dates, to take effect while it conducts its review and considers any new proposals to amend the regulations in question.
Specific details and any available data regarding the specific challenges commenters face in complying with the Final Rule by the current transition date of July 1, 2021.
Any relevant knowledge and specific facts about any benefits, costs, or other impacts of this proposal on the regulated community, workers, and other relevant stakeholders.
Any other potential consequences of not delaying the effective date and transition dates of the Final Rule.
III. Public Comments Received The Department invited written comments for a 30-day period on its proposal to delay the effective date of the Final Rule by 18 months, with corresponding delays to the rules transition dates. The comment period opened on March 22, 2021 and closed on April 21, 2021, with comments submitted electronically at http
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www.regulations.gov/ using docket number ETA20200006. During this comment period, ETA received 627
comments on its proposal, including 595 unique comments. The vast majority of commenters supported the NPRMs proposed 18-month delay of the effective and transition dates of the Final Rule.
The Department appreciates all of the comments it received. After full consideration of the comments and for the reasons explained below, the Department is adopting the proposal in the NPRM to delay the effective date of the Final Rule by 18 months, with corresponding delays to the rules transition dates.
A. Comments Supporting a Delayed Effective Date and Transition Dates 1. Public Comments Received Supporting the Proposal The comments received on the Departments NPRM overwhelmingly supported an 18-month delay or, in some instances, longer postponement or abandonment of the rule, and raised key issues including the Departments need to review the data and sources used in determining the prevailing wage levels in the Final Rule as well as the need to further assess the rules impact. As a result, most of these commenters noted that the Department should take the time and opportunity to thoroughly and comprehensively review the rule.
Commenters supported the proposed delay for various reasons, such as disapproval of the Final Rule, fears that the process in adopting the rule was rushed, and concerns that the rule lacked evidence and scientific data to support the revised prevailing wage levels. These commenters included academic institutions, trade and professional associations, and a significant number of individual commenters who also expressed their concerns about the impact of the Final Rule on international students, current visa holders, and prospective visa holders. Commenters voiced concerns regarding the Final Rules impact on businesses and industries, particularly academic institutions and businesses in the information technology IT
industry, as well as the impact on small to mid-sized entities. Commenters raised concerns that the rule is heavily geared toward the IT industry and encouraged the Department to review prevailing wage data across industries and sectors within industries, and to review the impact of the Final Rule on occupational markets by geographic location.
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2. General Comments Supporting the Proposal Many commenters expressed general, and often strong, support for the Departments proposal to delay the effective and transition dates of the Final Rule without providing specific reasons for support. The Department values the commenters general input on the delay proposed in the NPRM.
Because of the general nature of these comments, the Department is unable to address them in further detail. More specific comments related to the proposal are addressed in the sections that follow.
3. Delaying the Rule To Allow Time To Evaluate Matters of Fact, Law, and Policy Numerous commenters agreed with the Departments proposal to delay the Final Rule to allow the Department time to evaluate matters of fact, law, and policy related to the rule. One commenter stated it is in favor of the proposed delay and provided a policy report to assist the agency in evaluating issues of fact, law, and; raised by the rule. Many individual commenters stated the proposed delay would afford the public with more time to review the rule and assess its advantages and disadvantages. Other individual commenters expressed concern that the rule would discourage immigration and generally discussed the benefits that immigrants bring to the United States, including increased diversity, strong work ethic, and knowledge of or talent in specialized fields. Several commenters noted the rule was published during the final days of the previous administration and supported the proposed delay to allow entities, such as the Department, the public, policymakers, and stakeholders, time to review the rule, including for consistency with the current administrations policy goals.
Many commenters expressed general agreement with the proposed delay so that the Department can fully and thoughtfully consider the rule, its implications, and the appropriateness of the wage levels in the rule. Specifically, commenters requested the Department adopt its proposal to allow for thorough review and comprehensive analysis of the prevailing wage data and methodology used to establish the prevailing wage levels in the rule.
Commenters also recommended the Department adopt its proposal in order to use the time to reconsider whether changes to prevailing wage levels are needed, with several commenters stating the changes to the prevailing
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