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Legal Definitions - labor certification
Definition of labor certification
Labor certification, often referred to as PERM (Program Electronic Review Management), is a critical process that U.S. employers must complete before they can sponsor certain non-U.S. citizens for permanent employment (a "green card") in the United States. Its primary purpose is to protect the U.S. labor market by ensuring that hiring a foreign worker will not negatively impact U.S. workers' job opportunities, wages, or working conditions.
Before an employer can apply for a labor certification, they must demonstrate to the U.S. Department of Labor (DoL) that there are no qualified, willing, and available U.S. workers for the position. This involves a rigorous recruitment process, which typically includes:
- Defining the job duties and requirements accurately and legitimately.
- Obtaining a "prevailing wage determination" from the DoL, which sets a minimum salary for the position based on the job type, industry, and location. This ensures foreign workers are not hired at wages lower than what U.S. workers would typically receive.
- Advertising the job publicly through various channels for a specified period (usually at least 30 days), following strict DoL guidelines.
- Reviewing all applications from U.S. workers and documenting why any U.S. applicants were not qualified for the position.
Only if the employer can genuinely demonstrate that no qualified U.S. workers were found after this extensive recruitment effort can they then file a PERM application for the foreign national. The DoL reviews these applications carefully and may conduct audits to ensure the employer followed all rules and acted in good faith.
Here are a few examples illustrating how labor certification applies:
Example 1: Specialized Software Engineer
A cutting-edge technology company in Silicon Valley needs to hire a lead software engineer with highly specialized expertise in quantum computing algorithms, a field with a very limited number of experts globally. The company advertises the position widely in national newspapers, professional journals, and online job boards, offering a competitive salary that meets the prevailing wage. After an extensive recruitment period, they receive several applications, but none of the U.S. candidates possess the specific, advanced quantum computing experience required for the role. Having demonstrated a lack of qualified U.S. workers, the company can then apply for a labor certification for a foreign national who has the precise expertise needed.
Example 2: Rural Healthcare Professional
A hospital in a remote, underserved rural area of Kansas has been trying for over a year to fill a critical position for a pediatric neurologist. Despite offering a generous salary, relocation assistance, and advertising through medical associations and specialized job sites, they have received no qualified U.S. applicants willing to relocate to the rural community. The hospital identifies a highly qualified pediatric neurologist from Canada who is interested in the position. Before they can sponsor this doctor for a permanent visa, the hospital must complete the labor certification process, proving to the DoL that their diligent efforts to find a U.S. worker for this essential role in an underserved area were unsuccessful.
Example 3: Unique Manufacturing Process Expert
A specialized manufacturing firm in North Carolina produces a unique type of industrial ceramic using a proprietary process developed in Europe. They need a production manager with specific experience in this exact manufacturing technique to oversee their operations. They advertise the position extensively, detailing the unique experience required and offering a salary consistent with industry standards. While they receive applications from several experienced production managers, none of the U.S. applicants have direct experience with their specific, proprietary European manufacturing process. The company then seeks to obtain a labor certification for a foreign national who possesses this rare and critical expertise, demonstrating that no qualified U.S. workers were available for this highly specialized role.
Simple Definition
Labor certification, also known as PERM, is a process U.S. employers must complete to permanently hire a non-U.S. citizen. It requires the employer to demonstrate that there are no qualified U.S. workers available for the position and that hiring a foreign worker will not negatively impact the wages or working conditions of U.S. workers. This involves advertising the job and committing to pay at least the prevailing wage.