This is for PERM, not H1B. Many companies did and still do this. Imo, the concept of PERM is flawed, which causes companies to do this stuff. Some have had to settle with the gov't and can no longer do this (Meta).
Also, the jobs are not fake, they are labor market test jobs, designed to show that no citizen meets the job requirements thus validating a green card for the H1B visa holder. They are "fake" in that they are designed so no one applies for or gets the job. Imo, labor market test should be part of the visa granting process, not the naturalization.
I have been required to create such fake job postings.
From the line manager perspective, how it looks is you have a colleague who has been working with you for several years who is on a H1B visa. They want to get a green card and become a permanent resident. To support this, we are required to post a fake job ad for their position, and invent a reason to reject any US citizens who apply for the position. (Non-US applications are ignored.)
Our legal advice was that the job posting had to be contain only legitimate requirements for the role, so it could not be highly tailored to only match the resume of the employee seeking PERM status. The result was phone screen interviews were required to reject 8-10 on-paper-potentially-qualified US applicants for the fake position.
This is for a highly specialized area within finance, where in real hiring there is an immense effort to find the strongest candidates regardless of nationality.
In hindsight I am confident that earlier in my career I had applied to at least one such fake role. One not-well-known advantage of working with a recruiter as a job seeker in such a field is the recruiter will have back-channel information to know to ignore such fake job postings.
Yep, this is how it is done. I think it really needs to be revisited because everyone is faking the labor test because you have an employee who is great, who's been here for years and years, probably even had kids here, and if in the 10-15 years since the employee was hired, one US citizen could do the same job now, he gets sent back? It should be a requirement for the visa, not the residency. Residency should be done like Canada where you earn points to get it to foster assimilation.
Also, the jobs are not fake, they are labor market test jobs, designed to show that no citizen meets the job requirements thus validating a green card for the H1B visa holder. They are "fake" in that they are designed so no one applies for or gets the job. Imo, labor market test should be part of the visa granting process, not the naturalization.