DOL Advances Major PERM Overhaul: What Employers Should Know (and Why Nothing Has Changed Yet)

📢 PERM news alert: The U.S. Department of Labor (DOL) has moved forward with a proposed overhaul of the PERM labor certification process. On September 14, 2026, the White House Office of Information and Regulatory Affairs (OIRA) received the proposal for review.

This is an important step. However, nothing has changed for employers today. The proposal has not yet been published in the Federal Register, its regulatory text is not publicly available, and no public comment period has started.

Here is what employers should know about the proposed PERM modernization, what may change later, and how to plan without creating unnecessary urgency.

What is PERM, and why does it matter?

PERM is short for Program Electronic Review Management. It is the permanent labor certification process that many U.S. employers must complete before sponsoring a foreign worker for an employment-based green card.

In simple terms, PERM is a labor market test. It requires an employer to show that hiring a foreign worker for a permanent position will not unfairly harm qualified U.S. workers.

Before filing a PERM application with DOL, an employer generally must:

• Define the permanent job opportunity and its minimum requirements.
• Obtain a prevailing wage determination (the government’s estimate of the appropriate wage for the position).
• Conduct required recruitment to search for qualified U.S. workers.
• Review applications from potentially qualified U.S. workers.
• Document the recruitment process and the employer’s hiring decision.
• Confirm that the sponsored worker will receive at least the required wage.

If DOL certifies the PERM application, the employer may generally move forward with the next stages of the employment-based green card process.

PERM is especially important for employers sponsoring workers in categories such as EB-2 and EB-3, although not every employment-based green card category requires PERM. The process can take years from initial planning through permanent residence, so changes to recruitment or documentation requirements could affect long-term employer immigration strategies.

What happened on September 14, 2026?

The DOL proposal, titled “Modernizing the Labor Market Test and Improving Protections for U.S. Workers in the PERM Immigrant Visa Program,” is identified as RIN 1205-AC29.

On Monday, September 14, OIRA received the proposal for review. OIRA is part of the White House Office of Management and Budget. Its role includes reviewing significant proposed regulations for policy, economic, and legal considerations before agencies publish them.

The proposal is currently in that review stage. You can view the regulatory information for RIN 1205-AC29 on Reginfo.gov.

This step means the rulemaking process is advancing. It does not mean the rule is final or that employers must follow new requirements.

Why is DOL proposing PERM changes in 2026?

DOL has said the PERM regulations are outdated. The rules were last substantially updated in 2004, before the widespread use of online recruiting platforms, digital application systems, remote work, and technology-driven hiring practices.

The agency’s stated goals are to:

• Modernize the way employers conduct and document the labor market test.
• Improve DOL’s review of PERM applications.
• Strengthen protections for U.S. workers.
• Bring recruitment requirements more in line with current hiring practices.

The proposed rule comes during a period of heightened scrutiny of employment-based immigration. The administration has announced multiple PERM suspensions involving technology and information technology companies this year, including Cognizant. The Department of Justice has also pursued enforcement actions involving alleged hiring bias against U.S. workers.

That broader enforcement environment matters. Even before any new rule takes effect, employers should assume that DOL and other agencies are paying close attention to whether PERM recruitment is genuine, complete, and properly documented.

What could change under the proposed overhaul?

The exact changes are not known because DOL has not yet released the proposed regulatory text. Any discussion of possible changes should therefore be treated as informed expectation: not as a description of final requirements.

Based on DOL’s regulatory agenda and the stated purpose of the proposal, employers may eventually see changes involving:

Recruitment requirements

The current PERM process includes specific recruitment steps. Some requirements rely on methods that were common in 2004 but may not reflect how employers recruit today.

The proposal could modernize the labor market test by placing more emphasis on:

• Online job boards and digital recruitment.
• How employers actually advertise comparable positions.
• Clearer documentation of where and how a position was promoted.
• Evidence that recruitment reached qualified U.S. workers.

A digital-first system could make some recruitment activities more practical, but it may also require employers to preserve more detailed electronic records.

Review of U.S. worker qualifications

DOL may take a closer look at how employers define a “qualified” or “minimally qualified” applicant.

Employers may need to show more clearly:

• Why the job requirements are connected to the actual position.
• How applications were reviewed.
• Why a U.S. applicant did or did not meet the stated requirements.
• That job requirements were not designed around the sponsored worker without a legitimate business reason.

Recordkeeping and audit readiness

The proposal may strengthen recordkeeping expectations and expand the information employers must maintain.

That could include documentation involving:

• Recruitment advertisements and posting dates.
• Applicant resumes and screening notes.
• Interview records.
• Reasons applicants were rejected.
• Changes to the position or minimum requirements.
• Layoffs or workforce reductions affecting similar positions.

These records can be important if DOL audits a PERM application or asks questions about the employer’s recruitment process.

What does this mean for employers right now?

No immediate action is required because no new rule is in effect.

Employers with pending or planned PERM cases should continue following the current regulations and DOL procedures. The proposal has not yet changed:

• Recruitment requirements.
• Prevailing wage procedures.
• PERM filing forms.
• Employer recordkeeping obligations.
• DOL processing standards.
• The ability to file PERM applications under the current rules.

Employers should not rush to file an application solely because the proposal has entered OIRA review. At the same time, businesses with legitimate, well-developed green card plans should avoid unnecessary delays.

A PERM case requires careful coordination among the employer, the sponsored worker, human resources personnel, and immigration counsel. Waiting until a proposed or final rule creates a deadline may make the process more difficult.

Should employers file PERM cases before the proposed rule is published?

There is no universal answer. The right approach depends on the individual case.

You should consider factors such as:

• Whether the job position and requirements are ready.
• Whether the prevailing wage process has started.
• Whether recruitment can be completed properly.
• Whether the sponsored worker’s immigration timeline makes additional delay risky.
• Whether the employer expects layoffs, restructuring, or changes to the position.
• Whether the employer has maintained strong records for similar recruitment efforts.

The proposed rule is not yet final, and there is no guarantee that filing before publication will provide a particular legal advantage. Employers should also remember that a PERM process cannot be safely accelerated by skipping required steps or using incomplete documentation.

For employers with multi-year employment-based green card plans, the practical lesson is to plan ahead and monitor developments, rather than react after a final rule is published.

What happens next?

The expected rulemaking sequence is:

1. OIRA review: OIRA reviews the DOL proposal. This is the current stage as of September 16, 2026.
2. Federal Register publication: After review, DOL may publish a Notice of Proposed Rulemaking (NPRM). This document will contain the proposed regulatory text.
3. Public comment period: Employers, workers, attorneys, organizations, and other members of the public will have an opportunity to submit comments. The period is commonly expected to last approximately 30 to 60 days, although the final period will be stated in the NPRM.
4. DOL review and possible revisions: DOL will consider the comments and may revise the proposal.
5. Final rule: DOL may publish a final rule with an effective date and, potentially, transition instructions.

The NPRM could be published in the coming weeks or months, but there is no guaranteed publication date. The timing may also change depending on the OIRA review and the substance of the proposal.

What should employers do now?

Employers should take measured, practical steps:

• Continue using the current PERM rules.
• Review pending cases for compliance and documentation gaps.
• Confirm that job requirements are legitimate and tied to business needs.
• Preserve recruitment records, applicant information, and rejection reasons.
• Coordinate with human resources teams before beginning recruitment.
• Monitor layoffs or reorganizations that could affect PERM filings.
• Review long-term green card plans with immigration counsel.
• Watch for the NPRM and read the actual text before assuming a change is required.

The bigger picture is that PERM compliance is receiving increased attention. Even without a new rule, employers should treat each labor market test as a serious compliance process: not a paperwork exercise.

What should workers know?

Foreign workers pursuing an employment-based green card should also avoid assuming that the proposal automatically changes their case.

If your employer has started or is considering your PERM sponsorship, ask:

• Which stage is the case currently in?
• Has the employer obtained a prevailing wage determination?
• Has recruitment begun?
• Are there timing concerns connected to your visa status or priority date?
• Could changes in your job, work location, or duties affect the case?

Your employer and immigration attorney can help determine whether your case should proceed under the current rules or whether additional planning is appropriate.

The bottom line

DOL has advanced a significant proposed PERM overhaul by sending RIN 1205-AC29 to OIRA on September 14, 2026. The proposal could eventually change recruitment, recordkeeping, labor market testing, and protections for U.S. workers.

But nothing has changed yet. The rule is not in effect, the proposed text has not been published, and no public comment period has begun.

We will continue monitoring this PERM modernization effort and keep you updated as the proposal moves through the rulemaking process. If your business is planning green card sponsorship or you have questions about an existing PERM case, contact Badmus & Associates to discuss your situation and next steps.

This article provides general information and is not legal advice. Immigration rules and agency procedures can change, and the appropriate strategy depends on the facts of each employer and worker’s case.

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