To amend the Immigration and Nationality Act to provide greater protections to domestic and foreign workers under the H-1B nonimmigrant worker program.

Summary: Amends the Immigration and Nationality Act to require employers of H-1B (specialty occupations) nonimmigrants to use one of three specified methods (whichever results in the highest wages) to determine wages for purposes of required wage attestations.

Requires such employers who previously employed one or more H-1B nonimmigrants to submit with their labor condition application (LCA) a copy of the W-2 Wage and Tax Statement filed with respect to those nonimmigrants.

Extends from 90 to 180 days the period during which certain employers of H-1B nonimmigrants must show nondisplacement of U.S. workers. Requires such employers to actively engage in recruitment efforts. Prohibits such employers from placing, outsourcing, leasing, or otherwise contracting for the placement of an H-1B nonimmigrant with another employer, regardless of whether the other employer is H-1B dependent.

Requires the Secretary of Labor to be responsible for investigations of wage complaints and allegations of fraud in the filing of LCAs.

Authorizes the Secretary to: (1) conduct surveys of employer compliance with labor condition requirements; and (2) conduct annual compliance audits of employers employing H-1B nonimmigrants. Requires annual compliance audits in cases where H-1B nonimmigrants comprise 15 percent or more of an employer's total number of employees.

Makes permanent the employer fee applicable to H-1B petitions.

Creates a private right of action for persons harmed by an employer's violation of labor condition requirements.

SECTION 1. WAGE DETERMINATION.

    (a) Change in Minimum Wages.--Section 212(n)(1)(A) of the 
Immigration and Nationality Act (8 U.S.C. 1182(n)(1)(A)) is amended to 
read as follows:
            ``(A) The employer--
                    ``(i) is offering and will offer during the period 
                of authorized employment to aliens admitted or provided 
                status as an H-1B nonimmigrant wages that are at 
                least--
                            ``(I) the locally determined prevailing 
                        wage level for the occupational classification 
                        in the area of employment;
                            ``(II) the median average wage for all 
                        workers in the occupational classification in 
                        the area of employment; or
                            ``(III) the median wage for skill level two 
                        in the occupational classification found in the 
                        most recent Occupational Employment Statistics 
                        survey;
                whichever is greatest, based on the best information 
                available as of the time of filing of the application; 
                and
                    ``(ii) will provide working conditions for such 
                nonimmigrant that will not adversely affect the working 
                conditions of workers similarly employed.''.
         The wage determination methodology used under clause (i) shall 
        be submitted with the application.
    (b) Provision of W-2 Forms.--Section 212(n)(1) of such Act (8 
U.S.C. 1182(n)(1)) is amended by adding at the end the following new 
subparagraph:
            ``(H) If the employer employed, in such previous period as 
        the Secretary shall specify, one or more H-1B nonimmigrants, 
        the application shall be accompanied by the Internal Revenue 
        Service Form W-2 Wage and Tax Statement filed by the employer 
        with respect to such nonimmigrants for such period.''.

SEC. 2. GOOD FAITH RECRUITMENT REQUIREMENT.

    (a) Extending Time Period for No Displacement.--Section 212(n) of 
the Immigration and Nationality Act (8 U.S.C. 1182(n)) is amended--
            (1) in paragraph (1)(E)(i), by striking ``90 days'' and 
        inserting ``180 days'' each place it appears; and
            (2) in paragraph (2)(C)(iii), in the matter before 
        subclause (I), by striking ``90 days'' and inserting ``180 
        days'' each place it appears .
    (b) Requiring Active Requirement.--Section 212(n)(1)(G)(i)(I) of 
such Act (8 U.S.C. 1182(n)(1)(G)(i)(I)) is amended by inserting 
``actively'' before ``recruit''.
    (c) Prohibition of Outplacement.--Section 212(n)(1)(F) of the 
Immigration and Nationality Act (8 U.S.C. 1182(n)(1)(F)) is amended to 
read as follows:
            ``(F) An employer shall not place, out-source, lease, or 
        otherwise contract for the placement of an alien admitted or 
        provided status as an H-1B nonimmigrant with another employer, 
        regardless of whether or not such other employer is an H-1B-
        dependent employer.''.

SEC. 3. LABOR ENFORCEMENT.

    (a) Centralization of Administrative and Enforcement Functions.--
Section 212(n)(2) of the Immigration and Nationality Act (8 U.S.C. 
1182(n)(2)) is amended by adding at the end the following new 
subparagraph:
    ``(I) The Secretary shall be responsible under this paragraph for 
investigations of wage complaints, as well as investigations of 
allegations of fraud in the filing of applications under this 
subsection.''.
    (b) Audits.--Section 212(n)(2)(A) of the Immigration and 
Nationality Act (8 U.S.C. 1182(n)(2)(A)) is amended by adding at the 
end the following new sentences: ``In addition, the Secretary may 
conduct surveys of the level of compliance by employers with the 
provisions and requirements of this subsection and may conduct annual 
compliance audits in the case of employers that employ H-1B 
nonimmigrants. In the case of an employer that employs H-1B 
nonimmigrants that represent 15 percent or more of the total number of 
individuals employed by the employer, the Secretary shall conduct 
annual compliance audits of such employer.''.

SEC. 4. MAKING H-1B NONIMMIGRANT PETITIONER FEE PERMANENT.

    (a) In General.--Section 214(c)(9)(A) of the Immigration and 
Nationality Act (8 U.S.C. 1184(c)(9)(A)), in the matter immediately 
preceding clause (i), is amended by striking ``October 1, 2003''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to petitions filed beginning on or after January 1 of the year 
beginning after the date of the enactment of this Act.

SEC. 5. PRIVATE RIGHT OF ACTION.

    Section 212(n)(2) of the Immigration and Nationality Act (8 U.S.C. 
1182(n)(2)) is amended by adding at the end the following new 
subparagraph:
    ``(I) In addition to any other remedies available under this 
paragraph, a person who is harmed by a violation by an employer of a 
requirement of this subsection may bring a civil action against the 
employer in any court of competent jurisdiction for damages or other 
appropriate relief.''.