The first step in sponsoring a foreign worker for a U.S. green card is obtaining an approved Labor Certification, commonly known as PERM. This is a highly regulated and often lengthy process in which the employer must define the job and test the U.S. labor market to prove that no qualified U.S. workers are available for the role. In essence, PERM is designed to ensure that hiring a foreign national will not displace U.S. workers who are “able, willing, qualified, and available” for the position.

Because PERM is built on strict technical rules, even small errors can result in denial or force the employer to restart recruitment. In recent years, this process has become even more complex due to the rapid expansion of state and local Equal Pay Transparency (EPT) laws. These laws require employers to disclose salary ranges, and in many jurisdictions, benefits and other forms of compensation, in job advertisements. This creates new compliance challenges for PERM recruitment, which traditionally only required wage disclosure on the Notice of Filing and government forms.

Why EPT laws matter for PERM

EPT laws regulate job advertising, not just hiring decisions. As a result, PERM recruitment conducted through newspapers, online job boards, and employer websites may be subject to state and local pay transparency rules. These laws vary widely and determine:

• Which employers are covered
• Which jobs are covered, including remote positions
• What must be disclosed, such as salary alone or salary plus bonuses and benefits
• Who can file complaints
• What penalties may apply for noncompliance

Employers must now navigate overlapping federal and state requirements. Until clearer guidance is issued, employers must take proactive steps to reduce risk. This begins with identifying which EPT laws apply based on the employer’s business footprint, including where employees, managers, and remote workers are located. Next, employers must determine whether the specific PERM job posting is subject to any of those laws. A careful review of local requirements is essential, and best practice is to involve both immigration counsel and employment law counsel in this analysis.

DOL enforcement and PERM risk

So far, the Department of Labor has not denied PERM applications solely for failure to comply with EPT laws. However, the DOL and the Board of Alien Labor Certification Appeals have made clear that employers are responsible for ensuring that the wages listed in PERM recruitment comply with applicable state and local wage laws. If wage ranges or benefits are included in advertisements, those same terms must also appear on ETA Form 9141, ETA Form 9089, and the Notice of Filing. Inconsistencies between recruitment and the PERM filing can lead to denial.

The current EPT landscape

As of October 2025, the following states and jurisdictions have active EPT laws that affect job advertising, including PERM recruitment:

California, Colorado, Hawaii, Illinois, Maryland, Massachusetts, Minnesota, New Jersey, New York State, Vermont, Washington State, and Washington, D.C.

Many of these laws apply to remote jobs and to out-of-state employers with even a minimal business or employee presence in the state. Several states also require employers to disclose not just salary ranges, but general descriptions of benefits and other compensation, making advance planning critical before PERM recruitment begins.

Why PERM cases are especially vulnerable

PERM recruitment must be conducted in good faith and must accurately reflect the terms of employment being offered. When an EPT law requires a wage range or benefits to be listed in advertisements, those same terms must appear consistently across all PERM documentation, including:

• ETA Form 9141 (Prevailing Wage Request)
• ETA Form 9089
• The Notice of Filing
• All recruitment materials

Any discrepancy between what is advertised and what is filed with the government can jeopardize the PERM application.

What employers should do now

With pay transparency laws continuing to expand and evolve, employers sponsoring foreign workers must take a more coordinated approach to compliance. Working closely with experienced immigration counsel—and when appropriate, employment law counsel—can help employers develop strategies that align PERM recruitment with state and local pay transparency requirements.

As immigration compliance obligations continue to grow more complex, employers need more than just awareness. Staying informed and proactive with practical, actionable guidance is the best way to protect both the green card process and the company’s broader compliance obligations. Kick off the new year by joining our upcoming webinar for a comprehensive overview of employer immigration compliance, including I-9 hiring and verification requirements, ongoing H-1B wage and worksite compliance, and critical PERM recruitment and documentation rules, including EPT laws. Register and start the new year with clarity and confidence.

REGISTER HERE:
https://rnlawgroup.zoom.us/meeting/register/7MRGIw7yTMqNih16doF6Mg

For over 25 years, Reddy Neumann Brown PC has focused solely on U.S. employment-based immigration, and works with employers to establish best practices when navigating the PERM labor certification process. If you are in need of a U.S. work visa or permanent residency, speak with one of our immigration lawyers. Please contact us online, call our Houston business immigration office directly at 713-953-7787 or schedule a consultation.

By: Jessica Palarca

Jessica Palarca is an Associate Attorney in Reddy Neumann Brown PC’s PERM Labor Certification Department where she assists clients in the beginning stages of the green card process.