BALCA Exercises Reason and Common Sense to Reverse Denials of Certification

The Board of Alien Labor Certification Appeals (BALCA) recently issued three decisions reversing the Certifying Officer's (CO) denials of certification.

In Matter of Cognizant Technology Solutions US Corp., (Nov. 29, 2012), the employer had submitted a PERM application for the position of Business Development Manager which required a master's degree and 12 months of experience. As part of the recruitment process and as required by the regulations, the employer placed a job order with the New Jersey State Workforce Agency stating the said requirements for the position. Due to an automatic conversion programmed into the job order form, the posted job order stated that the experience requirements for the position was "Mid Career (2-15 years)." The CO denied certification on the basis that the job order's experience requirement exceeded the 12month requirement stated on the PERM application. Finding that the employer could not prevent the automatic conversion to a pre-determined range, BALCA concluded that the employer conducted a good faith recruitment effort as required by the regulations. In reversing the CO's denial, the BALCA reiterated its earlier finding in Federal Insurance Co., (Feb. 20, 2009), that denying certification where a deficient form prevented an employer from complying with the regulations offends fundamental due process.

In Matter of Infosys Technologies Limited, (Nov. 16, 2012), BALCA stated: "Our analysis is guided by the purpose of regulation which is to assist employers in adequately testing the labor market." BALCA found that the employer adequately tested the labor market for a consultant-type employee where the recruitment ads were placed in the San Francisco Chronicle and its related job search website, indicating that the position was located in San Francisco which may require multiple long-term assignments within the region. Due to the limitations of the PERM application form for consultant-type positions with unanticipated client sites, the application indicated the employer's headquarter office, located in Fremont, California, as the location of job opportunity. The CO had determined that San Francisco and Fremont were not in the same Metropolitan Statistical Areas (MSA) and that the geographic area of employment in the ads did not match the geographic area of employment in the PERM application. BALCA found that any U.S. worker reading the ads would realize that the job location may be anywhere within the San Francisco area, which would include Fremont, and reversed the CO's denial of certification.

In Matter of Bottomline Technologies, (Oct. 18, 2012), the CO had denied certification on the grounds that the employer did not adequately document the employer referral program as one of the recruitment steps. Specifically, the CO noted that the documents did not show that the program was in effect during the relevant period of recruitment and that the employees were on notice of the job opening. While commenting that the employer's evidence "could have been better presented," BALCA found that the employer submitted enough documentation to show that the program was in effect and that the employees were on notice when considering all the evidence submitted by the employer in its response to the PERM Audit and its motion for reconsideration. As to the CO's finding that the program documentation did not include the employer's name or the job location, BALCA found that the job posting in the employer's website clearly included the employer's name and the job location, and further stated as follows: "Perhaps the CO was looking for this information to be on the employee handbook description of the employer referral program itself, but that is not a reasonable or realistic expectation."

BALCA is to be commended for exercising reason and common sense in its interpretation of the regulations in deriving these decisions. We hope that BALCA continues to be guided by the purpose of the regulations and will not seek technical reasons to deny certifications for applications filed and processed in good faith.

(For a general description of the PERM process, please see our previous post.)
 

BALCA Finds Employer's Duty to Investigate Further The U.S. Applicants' Qualifications

In its latest decision, Matter of Select National Inc. (Sept. 19, 2012), the Board of Alien Labor Certification Appeals (BALCA) affirmed the denial of a labor certification by holding that even if a potential U.S. worker applicant did not appear to meet the required amount of experience, the employer had a duty to investigate further where the resume demonstrated a "broad range of experience, education and training." (For a general description of the PERM process, please see our recent post).

Select National Inc., follows two decisions issued earlier in the year, Matter of Goldman Sachs & Co. (June 8, 2012), and Matter of Kennametal, Inc. (March 27, 2012), both affirming denials based on employer's duty to investigate further.

In Select National Inc., BALCA stated as follows: "We agree with the Employer that (the U.S. applicant) does not appear to meet the minimum requirement of three years' experience in the job offered. However, even if the applicant did not have the exact experience required, the Employer was under a duty to investigate the applicant further."

In all three cases, BALCA acknowledged that the U.S. applicants did not meet the requirements as specified in the recruitment ads and the PERM application, whether it was the required degree or the specific skill set. However, BALCA reasoned that because all three employers had included a variation of the "magic" Kellogg language ("any suitable combination of education, training or experience is acceptable") in the PERM applications and/or the recruitment ads, the employer had the duty to further investigate the credentials of the U.S. applicants. Furthermore in Kennametal, BALCA reasoned that the employer failed to consider whether some of the applicants could be qualified "after a reasonable period of on-the-job training."

These BALCA cases emphasize both the importance of appropriately drafting the recruitment ads and the PERM application while considering any business necessity for the specified education and experience being sought and the importance of properly conducting and documenting the recruitment process in accordance with the regulations.

In Matter of JP Morgan Chase & Co. (July 16, 2012), BALCA vacated the denial of certification where the Certifying Officer (CO) had determined that the U.S. applicants had suitable combination of education, experience and training to necessitate interviews. BALCA held that where the employer showed business necessity of the skills being sought and the infeasibility of on-the-job training for the said skills, U.S. applicants may be rejected without further investigation in the absence of CO's finding that the requirements are unduly restrictive for the position.

Additionally, the decisions demonstrate the inherent problem with the PERM process. As reiterated by BALCA in all three cases, the goal of the Immigration and Nationality Act is to ensure that foreign workers do not obtain permanent employment in the United States where there are U.S. workers who are able, willing, qualified, and available to perform the work. While the goal, as stated, may be meaningful in the context of the current high unemployment rate in the U.S., in practice, the PERM process ignores the real-world interest of U.S. employers to find the best-qualified, not minimally qualified workers. Ultimately, businesses create greater economic growth with highly competent, not minimally qualified employees.