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Perplexity ChatGPT Claude Gemini

White House Clears Labor Department’s PERM Overhaul: What Green Card Sponsors and Applicants Should Know

Perplexity ChatGPT Claude Gemini
White House Clears Labor Department’s PERM Overhaul: What Green Card Sponsors and Applicants Should Know

The Labor Department’s plan to rewrite the rules for sponsoring foreign workers for green cards has cleared a major hurdle, but nothing about the process has changed yet. A proposed overhaul of the Permanent Labor Certification (PERM) program completed White House regulatory review on October 23 which the Business Standard reported on October 29. The proposal’s text is not public, and the existing rules remain in force. Business Standard describes the clearance as “a step towards changing the PERM framework.” However, it is not an immediate change to the green card process. Here our EB-1A consultants have presented the new details of the PERM overhaul.

What cleared the review process

The Labor Department’s Employment and Training Administration sent the proposal to the Office of Information and Regulatory Affairs (OIRA) on September 14, 2026. OIRA’s record lists the rule as “Modernizing the Labor Market Test and Improving Protections for U.S. Workers in the PERM Immigrant Visa Program,” under regulatory identification number 1205-AC29. It marks the rule as economically significant, with no legal deadline. It shows a concluded action of “Consistent with Change” on October 23 (OIRA; Badmus & Associates). One outlet reads that outcome as a review completed with changes (Travel And Tour World), though the revised text has not been released.

The proposal has not yet appeared in the Federal Register. PERM Tracker, a case-tracking site, found nothing filed under that number as of October 27. Publication would open public comment, which Business Standard says could run 30 or 60 days. Only a final rule, after DOL considers the comments, would change the regulations (PERM Tracker; Business Standard).

What DOL says it will change

The only official description so far is DOL’s entry in the Unified Agenda, a government list of planned rules. It names four areas, which PERM Tracker sets beside the rules that apply today:

  • Recruitment. DOL wants to improve the minimum standards for recruiting U.S. workers. Currently, employers must place a job order and two print ads, plus three additional steps for a professional position.
  • Layoffs. DOL promises “strengthening safeguards for U.S. Workers impacted by layoffs.” Today, an employer that laid off workers in the same area and occupation within six months of filing must notify and consider them.
  • Fair hiring. The agenda refers to non-discriminatory recruitment and hiring practices. Employers now attest that the job is open to any U.S. worker and that rejections were lawful and job-related.
  • Records. The agenda mentions record-retention requirements. Employers currently keep PERM documents for five years from filing.

DOL’s stated reason is that the PERM regulations have not been comprehensively revised since 2004, even though technology has changed how employers recruit (PERM Tracker). Business Standard dates the last overhaul to 2005, which matches the year the program took effect after the 2004 final rule was published. DiRaimondo & Schroeder adds that DOL argues the rules still prescribe recruitment methods built for an earlier labor market, when employers increasingly use online platforms, company career sites and professional networks (DiRaimondo & Schroeder).

What nobody knows yet

The agenda entry does not say which recruitment steps would change, whether print advertising stays, how a layoff would be defined or how long records would be kept. It also does not say whether a final rule would reach cases already underway (PERM Tracker; DiRaimondo & Schroeder). Business Standard adds that it is too early to say whether the changes would raise costs, lengthen timelines or create hurdles for particular categories of workers. Until the proposed text is published, any detail beyond those four areas is a guess.

A different proposal, easy to confuse

A separate rule covers wages. On March 27, 2026, DOL proposed changes (RIN 1205-AC30) to how prevailing wage levels are computed for PERM and for H-1B, H-1B1 and E-3 applications. Comments closed May 26, and no final rule exists (PERM Tracker). As reported, it would apply to all pending and future wage determinations (MyNRIPortal). The recruitment rule and the wage rule are separate efforts that could land at different times.

Why it matters, especially for Indian applicants

PERM is a key step in many employment-based green card cases, especially in the EB-2 and EB-3 categories, which makes the proposal significant for Indian professionals (Business Standard). Practitioners say the layoff rule is already a practical constraint. One firm notes that many large technology companies keep filing PERM but pause for six months after layoffs, and that the recruitment test is the main hurdle (Career Engine). The new proposal’s emphasis on layoffs suggests that area may draw scrutiny, though the text will settle that.

What to do now

Business Standard advises applicants to watch the Federal Register, discuss implications with their employers or immigration lawyers, and avoid decisions based on unconfirmed details. Applicants whose employers have started PERM should ask whether future changes could affect recruitment documentation or filing plans.

Badmus & Associates cautioned back in September that employers “should not rush to file an application solely because” the proposal entered review, since waiting for a deadline could make the process harder (Badmus & Associates). A case filed now is judged under today’s regulations. A good question for counsel is how to plan recruitment without building around a rule no one has read.

The road ahead

Three immigration rules were pending at OIRA as of mid-October: a USCIS premium-processing timeframe rule, a USCIS H-1B reform rule and this one (Greencardguide.ai). The path for this proposal is publication, public comment and then a final rule. Each step may take months. For sponsors and workers, the message for now is to keep following the existing PERM rules and watch for the text.

At GCEB1, we are always staying tuned to the latest developments in the US immigration landscape. Get in touch with our EB-1A experts for personalized mentorship into merit based immigration pathways. We wish you a safe and stress free immigration journey ahead.

Frequently Asked Questions

1. What happened on October 23, 2026?

OIRA concluded its review of DOL’s proposed PERM rule.

2. Do the PERM rules change now?

No. Existing rules stay in force until a final rule takes effect.

3. What is PERM?

The labor certification process in which employers generally show there are insufficient qualified U.S. workers before sponsoring a foreign worker for permanent employment.

4. What areas will the proposal cover?

Recruitment standards, layoffs of U.S. workers, non-discriminatory hiring and record retention.

5. Is the proposed text available?

Not as of the latest reports. It must be published in the Federal Register.

6. How long will comments be open?

Business Standard says possibly 30 or 60 days, but no period has been set.

7. Is this the same as the prevailing wage proposal?

No. That is a separate rule (RIN 1205-AC30) proposed on March 27, 2026.

8. Will it apply to pending cases?

Unknown. The agenda entry does not address cases already underway.

9. Should employers rush to file?

Badmus & Associates advises against rushing solely because of the proposal. Speak with an immigration attorney.

Sources & further readings

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