Under the terms of the proposal, Sweden would not send anybody back to their homeland if they had managed to secure employment.
"This is the biggest reform of Swedish immigration policy for several decades," said Migration Minister Tobias Billström and Green Party group leader Mikaela Valtersson in a jointly penned article in Thursday's Dagens Nyheter.
If a job seeker outside the EU receives a concrete offer of work from a Swedish employer, this will in future be enough to secure permits for residency and employment.
The proposal also sets longer time limits for residence and work permits. The first permit will last two years. If the applicant still has work after this period, the permit will be extended by a further two years.
After four years, an applicant will be eligible for a permanent residence permit.
"From now on, no labour force immigrant will be forced to go home despite having work," said Billström and Valtersson.
The government and the Greens also want to make it easier for job seekers to attain visas to travel to Sweden for interviews.
Under the new regulations, an applicant who is offered employment will no longer have to return home to apply for permits to live and work in Sweden.