LABOR CERTIFICATION CHANGES AND PROCEDURES

 

 

 

1.         The Labor Certification Audit

 

On May 22, 1996 the U.S. Department of Labor Office of the Inspector General, conducted an audit of the Labor Certification process.

 

$50 million is spent annually on the labor certification process. The purpose of the labor certification is to:

·         Exclude foreign workers (e.g. In H-1 status) when qualified, willing and able U.S. workers are available

·         To test the U.S. labor market and exclude aliens when a U.S. worker is available for the position. The U.S. worker is only required to meet the requirements of the position. Thus, even if the alien is more qualified or better qualified than the U.S. worker, the U.S. worker should be hired if he/she meets the minimum requirements of the position.

 

The results of the audit were as follows:

·         The program does not currently protect U.S. workers and the labor certification process is a sham

·         Employers specifically tailor advertised jobs to help aliens obtain permanent labor resident status

·         Employer’s contacts with the aliens occur long before the labor market test

·         Employers create nonexistent jobs to help aliens obtain permanent resident status

·         The number of U.S. workers hired as a result of the labor market test was negligible

·         Out of 24,150 aliens for whom labor certifications were certified under the Labor Dept. program:

-          99% were in the U.S. when the application was filed;

-          74% were working for the U.S. employer at the time of the application;

-          16% of these were out of status;

-          11% never worked for the petitioner/employer after adjustment to permanent resident status even though the only reason for obtaining the green card was that no qualified, willing U.S. workers were available;

-          17% left the employer within 6 months after adjustment to permanent resident status

 

CONCLUSION 

The Permanent Labor Certification Process is perfunctory at best and a sham at worst. Of the 28,682 applicants from 12 states referred on 10,631 job orders during the period, only 5 (0.02 %) were hired. Even when the U.S. applicants were hired, 104 (0.08%) hires out of the test sample of 136,367 applicants, they were incidental to the aliens being hired, i.e., the specific jobs advertised were still filled by the aliens. The program does not currently protect U.S. workers jobs. Instead, it allows aliens to immigrate based on their attachment to a specific job and then show their services in competition with equally or more qualified U.S. workers without regard to prevailing wage.

 

RECOMMENDATIONS

The Audit Results Demonstrate that:                                       

Regulatory and Legislative Changes are needed to protect U.S. workers and to see that their wage levels are not eroded. If Congress fails to enact Immigration Reform to change the current system, the Employment and Training Administration (ETA) intends to make as many Administrative and Regulatory Changes and Improvements as can be implemented under current law to strengthen the programs.

 

2.         General Administrative Letter (Gal) 1-97, Dated October 1, 1996.

 

As a result of the above audit, the Department of Labor (DOL) announced significant changes to increase efficiency in the permanent labor certification process. The DOL has in effect re-engineered the permanent labor certification process.

 

PRIOR DOL PROCEDURE:

Prior to the announcement through the GAL letter the procedure was as follows:

An employer would draft a labor certification application (ETA 750A forms) and mail it along with the job notice and statement of qualifications (Form ETA 750B) to the State Employment Security Agency (SESA). The SESA would then respond and question special requirements, excessive educational and experience requirements, combination of duties, tailoring of job duties, prevailing wage, and a host of other issues relevant to the labor certification process. The employer would then respond to the SESA providing justification for the requirements (business necessity, etc.) and specifically responding to the issues raised by the SESA office. The local office would then generally instruct the Employer to advertise the position and commence recruitment efforts. Upon receipt of the recruitment results, the SESA office would then forward the results to the Regional office of the DOL.

 

The Regional Office would then either approve the application or issue a Notice of Findings (NOF) with intent to deny the application on one or more grounds. The employer would then be required to rebut the NOF. If the rebuttal was accepted, the certification would be granted. Under certain cases, the application could also be remanded to the SESA for further recruitment. If it was rejected, the Employer had the option of appealing to the Board of Alien Labor Certification Applications (BALSA).

 

CURRENT DOL PROCEDURE IMPLEMENTED AFTER ISSUANCE OF GAL – 1- 97:

Under current procedure, the SESA is not authorized to allow the Employer to commence recruitment on any application, which contains requirements or restrictive requirements which did not exist prior to the alien being hired. Applications where the Employer refuses to remove such requirements will be sent immediately to the Regional Office (Certifying Officer) by the SESA for processing in the order that they were received along with other applications. Employers who do not wish to delete restrictive requirements will be requested by the SESA to submit documentation of business necessity, which will be included in the transmittal letter to the Certifying Officer.

 

Under this new procedure the business necessity justification should address the job opportunity:

i)      As described in the application as it existed prior to the hiring of the alien or, if this is not the case,

ii)     The Employer should document that a major change in its business operation caused the position to be created after the alien was hired.

 

Jobs that did not exist before the alien was hired will be considered jobs that are not truly open to U.S. workers, unless the employer can clearly demonstrate that a major change in the business operation caused the position to be created after the alien was hired.

 

HOW CURRENT PROCEDURE CHANGES PRIOR PROCEDURE:

Under, prior procedure (before GAL-97) an employer was not required to establish business necessity under these two limited methods only. The employer could submit documentation and provide written explanations that the job opportunity has been and is being described without unduly restrictive job requirements. (The regulations identify as unduly restrictive any job requirement that is not included for the job in the Dictionary of Occupational Titles (DOT) or is not normally required for the job in the United States.

 

Under the GAL 1-97 in order to establish the business necessity standard the employer is required to establish that the job opportunity:

i)       As described in the application existed prior to the hiring of the alien or, if this is not the case,

ii)       The Employer should document that a major change in its business operation caused the position to be created after the alien was hired.

 

Thus, this new policy attempts to disregard what is normally required for the job in the United States.

The new policy will challenge virtually all requirements that an employer requires in item 15 of the alien employment certification application.

 

Backlogs And Significant Delays In Labor Certification Processing

 

Funding for labor certification and LCA processing has been cut by $13 million. There have been increasing staff cuts in the Department of Labor. Meanwhile the number of applications for Labor certification continues to rise. This increases backlogs and delays.

 

All aliens should expect increased backlogs in the processing of labor certification applications.

 

Recommendation:  Aliens should begin processing of their labor certification applications as soon as they receive their first H-1B approval. Since there is a likelihood of increasing denials of labor certification applications and since significant delays are likely, the only alternative is to begin processing early to provide for such delays and denials.

 

           

The information in this article is of a general nature and may not apply to any specific or particular circumstance. It is not to be construed as legal advice and does not establish an attorney-client relationship between The Law Offices of Cyrus S Nallaseth and the viewer.