US moves to revise green card sponsorship rules

The United States government is moving to revise employment-based green card sponsorship requirements after completing a federal review of proposed changes to the Permanent Labor Certification (PERM) programme.

The proposed regulation, developed by the US Department of Labour (DOL), has cleared review by the Office of Management and Budget (OMB), paving the way for its publication in the Federal Register.

According to an immigration advisory published by Fragomen on October 26, 2026, seen by PUNCH Online on Wednesday, the proposed changes would revise recruitment standards for employers seeking to sponsor foreign workers for permanent residency.

The reforms would also strengthen protections for American workers affected by layoffs and introduce additional employer compliance requirements.
The development could overhaul the PERM programme, whose regulations have not been comprehensively updated since 2005.

“Under the existing PERM framework, employers must demonstrate that there are insufficient qualified, willing and available US workers for the position before sponsoring a foreign national for permanent employment.

“The process is a key requirement for many employment-based green card applications, particularly those under the EB-2 and EB-3 immigrant visa categories,” the advisory read.
According to Fragomen, the proposed regulation would focus on three major areas: recruitment requirements, protections for American workers affected by layoffs and compliance with federal non-discrimination rules.
The proposed changes would revise the minimum standards employers must meet when testing the US labour market for qualified American workers.

They would also strengthen requirements governing recruitment and sponsorship in situations where US workers have been affected by layoffs.

In addition, employers could face enhanced obligations to ensure their recruitment and hiring practices comply with federal non-discrimination requirements.

However, the specific provisions of the proposed regulation remain confidential pending publication in the Federal Register.

Proposed Rule Awaits Public Consultation
Following the completion of OMB’s review, the Department of Labor is expected to publish the proposed regulation in the Federal Register.

The publication would open the proposal to public scrutiny and allow employers, immigration lawyers, businesses and other stakeholders to submit comments.

The public consultation period is expected to last either 30 or 60 days, although the final duration will depend on the published proposal.

After the consultation period, the Department of Labor will review the submissions before deciding whether to issue a final regulation.

The proposed requirements will not take effect until the rulemaking process is completed and a final regulation is issued.

Changes Could Affect Employment-Based Green Card Applicants

The proposed reforms could affect how employers recruit workers and document their efforts to hire qualified Americans before sponsoring foreign nationals for permanent residency.

Employers seeking to sponsor workers through the EB-2 and EB-3 categories may need to review their recruitment procedures and compliance practices if the proposed changes are adopted.
The potential changes may also be significant for foreign professionals seeking permanent residency through employer sponsorship, particularly where recruitment requirements or rules concerning layoffs influence the process.

However, the precise implications for new applications and cases already underway cannot be determined until the proposed regulation is published and its provisions are examined.

The development comes amid broader efforts by US authorities to review immigration requirements affecting foreign professionals and employers sponsoring international workers.