US Moves to Overhaul Green Card Sponsorship Rules

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The United States is preparing changes to the rules for employer-sponsored green cards. A proposed regulation has cleared a key federal review and is now close to publication.

The US Department of Labour (DOL) drafted the proposal. It targets the Permanent Labor Certification (PERM) programme. The Office of Management and Budget (OMB) has finished reviewing it.

Fragomen, an immigration law firm, revealed the development in an advisory dated October 26, 2026. PUNCH Online saw the document on Wednesday.

What the proposal covers

PERM requires employers to show that no qualified, willing and available US worker exists for a role. Only then can they sponsor a foreign national for permanent residency. Many EB-2 and EB-3 green card applications depend on this step.

According to Fragomen, the proposal focuses on three areas:

  • Recruitment standards that employers must meet when testing the US labour market
  • Protections for American workers affected by layoffs
  • Compliance with federal non-discrimination rules in hiring

The programme’s rules have not seen a comprehensive update since 2005.

Details remain under wraps

The specific provisions are still confidential. They will only become public once the DOL publishes the proposal in the Federal Register.

Public comment comes next

Publication will open the proposal to public comment. Employers, immigration lawyers, businesses and other stakeholders can then submit their views. The comment period is expected to last 30 or 60 days, depending on the final proposal.

The DOL will then review the submissions. After that, it will decide whether to issue a final regulation. The new requirements will not take effect until that happens.

What it could mean for applicants

Employers using the EB-2 and EB-3 categories may need to review their recruitment and compliance practices if the changes go ahead. Foreign professionals seeking sponsorship could also feel the effects.

However, it is too early to say how the rules would affect new or pending cases. That will become clear only after the text is published.

 

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