DOL PERM Modernization 2026: First Major Overhaul of Labor Certification Since 2004

The U.S. Department of Labor (DOL) has formally placed a Notice of Proposed Rulemaking (NPRM) on the federal regulatory agenda for July 2026, titled 'Modernizing the Labor Market Test and Improving Protections for U.S. Workers in the PERM Immigrant Visa Program.' This marks the most significant signal in decades that a comprehensive review of permanent labor certification rules is actively underway. The DOL acknowledges that the existing PERM regulations have not been substantively updated since 2004, despite dramatic shifts in U.S. labor market conditions driven by technology, remote work trends, and evolving recruitment practices. The proposed rulemaking is expected to address recruitment standards, employer compliance with anti-discrimination requirements, protections for U.S. workers affected by layoffs, and revisions to recordkeeping obligations. For EB-3 applicants and sponsoring employers, this development carries significant implications. PERM labor certification is the mandatory first step in most employer-sponsored green card cases, including EB-3 skilled worker and professional petitions. Changes to recruitment methods, documentation requirements, audit standards, and adjudication practices could meaningfully affect the timeline and burden of the entire permanent residence process. At this stage, no proposed regulatory text has been published and no current PERM rules have changed. Once the NPRM is officially published in the Federal Register, a public comment period will allow employers, practitioners, and workers to weigh in before any final rule takes effect. Employers and pending applicants should continue following existing PERM regulations in the interim. Immigration practitioners and sponsoring employers are advised to monitor the Federal Register for the formal publication of the NPRM, which will contain specific regulatory language. The public comment process represents an important opportunity for the employer and immigration community to help shape the final outcome of this long-anticipated reform.