DOL Advances Proposed Changes to PERM Labor Certification Requirements

Employers planning to sponsor foreign workers for employment-based green cards may want to accelerate their PERM timelines. The U.S. Department of Labor (DOL) is advancing proposed changes to the PERM labor certification program that could introduce stricter recruitment requirements and additional employer compliance obligations as early as 2027.

The proposed rule, titled Modernizing the Labor Market Test and Improving Protections for U.S. Workers in the PERM Immigrant Visa Program, completed review by the Office of Management and Budget (OMB) on October 23, 2026. Although the full text has not yet been released, the proposal could change a process that has remained largely intact for more than two decades.

For employers, the changes could affect recruitment practices and documentation requirements for employment-based green cards.

What could change under the proposed PERM rule?

PERM labor certification is a required step for most employer-sponsored EB-2 and EB-3 green card petitions. PERM requires employers to conduct a labor market test to demonstrate that there are no able, willing, qualified, and available U.S. workers for the sponsored position. Under the current framework, mandatory recruitment steps include a 30-day state workforce agency job order and Sunday newspaper ads.

According to DOL's regulatory agenda, the proposed rule is expected to modernize recruitment standards and strengthen employer compliance requirements. Potential changes include:

• Updated recruitment standards: Revising how employers advertise positions and recruit U.S. workers, potentially requiring additional recruitment activities or different advertising methods.
• Greater protections for U.S. workers: Strengthening requirements intended to protect domestic workers, including those affected by layoffs.
• Increased employer oversight: Expanding compliance requirements related to recruitment practices and nondiscriminatory hiring.
• Additional documentation obligations: Revisiting recordkeeping requirements and the evidence employers must retain to demonstrate compliance.

The specific requirements will remain unclear until the DOL publishes the proposed rule. However, changes to recruitment and documentation standards could increase the time and resources employers must dedicate to PERM sponsorship. For background, see our earlier post on DOL's plans to overhaul the PERM program.

When could the changes take effect?

The proposed rule has completed OMB review but has not yet been published in the Federal Register. Publication would begin the formal rulemaking process, including an opportunity for public comment before DOL can issue a final regulation.

While an effective date has not been announced, new requirements could potentially take effect in 2027.

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Why employers should consider starting PERM cases now

Given the possibility of more restrictive and costly requirements, it's a good idea for employers to initiate planned PERM sponsorships as soon as possible.

The PERM process already involves multiple stages, including obtaining a prevailing wage determination, conducting recruitment, and submitting the labor certification application to DOL. These steps can take several months before an application is ready for filing. Employers who delay initiating sponsorship may face additional uncertainty if new recruitment or compliance requirements take effect while their cases are in progress.

Although beginning a case now does not guarantee that it will be processed entirely under existing regulations, taking action early may provide employers with greater flexibility to complete required steps before any changes are implemented. Employers should review their current and anticipated sponsorship needs, particularly for employees approaching immigration status expiration dates or other important green card planning milestones.

How Boundless can help

Boundless is monitoring the proposed PERM regulations and their potential impact on employer-sponsored immigration programs. Employers can take steps now to evaluate their sponsorship needs and prepare for possible changes.

If your organization is considering initiating new PERM cases, we recommend connecting with the Boundless legal team promptly to discuss next steps under the current regulatory framework.

We will continue to provide updates as DOL releases additional information about the proposed rule and its potential implications for employers.

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