The US administration has suspended eight major technology and IT services companies from the PERM (Permanent Labor Certification) programme, raising concerns among Indian IT professionals seeking US Green Cards.
According to reports published on October 8, 2026, the affected companies include Microsoft, Adobe, Infosys, TCS, Wipro, Cognizant, HCLTech and Capgemini.
What Is PERM?
PERM stands for Permanent Labor Certification. It is an important step in the employment-based Green Card process. It generally requires employers to demonstrate that qualified US workers are not available for the relevant position under the applicable labour certification rules.
For many employment-based Green Card applicants, PERM is an important stage in obtaining permanent residency in the United States.
The general process involves the following steps:
- The employer identifies a qualifying permanent job opportunity.
- The employer obtains the required prevailing wage determination.
- The employer completes the applicable recruitment and labor certification requirements.
- The employer files the PERM application with the US Department of Labor.
- Following certification, the employer can generally proceed with an I-140 immigrant petition through US Citizenship and Immigration Services (USCIS).
- The employee completes the remaining applicable immigration procedures before becoming a permanent resident.
Some employment-based immigration categories do not require PERM, and the exact process depends on the category and individual circumstances.
Why Has the US Administration Suspended These Companies?
The Trump administration has presented the action as part of its efforts to protect American workers and investigate alleged misuse of foreign-worker employment programmes.
Vice President JD Vance has criticised Microsoft over allegations concerning the employment of foreign workers following layoffs affecting American employees. US Labor Department officials have also announced restrictions involving several major IT services companies. However, allegations should not be treated as proven violations without supporting findings. The precise consequences for each company and the future of the restrictions will depend on the applicable government actions and any subsequent developments.
Which Companies Are Affected by the PERM Suspension?
The eight companies named in the reported restrictions are:
The reported action specifically names these eight companies. It should not be interpreted as a blanket suspension of all Indian IT companies or every foreign worker's Green Card application.
How Will the PERM Suspension Affect Indian IT Professionals?
The development is particularly significant for Indian professionals working in the United States because many rely on employer sponsorship to pursue permanent residency.
1. Delays in Green Card Sponsorship
Employees whose permanent residency applications depend on an affected company's PERM process may face delays or uncertainty.
The extent of the impact will depend on the status of the application and the restrictions applicable to the employer.
2. Restrictions on New PERM Applications
The suspension may prevent the affected companies from proceeding with new PERM applications under the announced restrictions.
Employees who were preparing to begin the process may need to wait for further developments or seek advice about their specific circumstances.
3. Uncertainty for Existing Applications
Reports indicate that the suspension also covers the processing of pending PERM applications involving the affected companies.
Employees should confirm the current status of their cases rather than assume that an application already submitted will continue normally.
4. Additional Concerns for H-1B Workers
H-1B is a temporary US work visa, while a Green Card provides permanent resident status. The two are related in many employer-sponsored immigration cases, but they involve different immigration procedures.
The PERM suspension does not automatically cancel existing H-1B visas. However, workers relying on the affected PERM process may face additional uncertainty about their long-term immigration plans.
Employees should consult their employer's immigration team or a qualified US immigration attorney before making decisions about employment or immigration status.
Does the PERM Suspension Affect All Indian IT Companies?
No. The reported action specifically names eight companies. It should not be treated as a blanket ban on every Indian IT employer or every foreign worker's Green Card application.
Other employers may continue to operate under the applicable immigration rules, subject to any separate restrictions or changes in US immigration policy.
The fact that a company is not included in this particular announcement does not guarantee that every immigration application it sponsors will be approved.
Does the Suspension Mean That H-1B Visas Have Been Cancelled?
No. The PERM suspension does not automatically cancel existing H-1B visas.
H-1B visas and employment-based Green Cards involve different immigration procedures. A worker's H-1B status depends on the applicable visa and employment requirements, while permanent residency through an employer may involve PERM, an I-140 petition and further steps.
Anyone affected should distinguish between restrictions on PERM processing and separate changes to visa rules.
Conclusion
The reported US PERM suspension has created uncertainty for Indian IT professionals pursuing employment-based Green Cards through the eight affected companies. Workers should verify their individual application status and follow official updates from the US Department of Labor.
Official Source: US Department of Labor (DOL) – Permanent Labor Certification (PERM). The official page provides information about the PERM programme and its labor certification process.
Frequently Asked Questions (FAQs)
1. What is the US PERM Green Card Suspension 2026? +
It refers to the reported suspension of eight major technology and IT services companies from the US PERM labor certification programme, which is an important step in many employer-sponsored Green Card applications.
2. Which Indian IT companies are affected? +
The Indian IT services companies named in the announcement include Infosys, Tata Consultancy Services (TCS), Wipro, Cognizant and HCLTech.
3. Are Microsoft and Adobe also affected? +
Yes. Microsoft and Adobe are among the eight companies named in the reported restrictions.
4. Will the suspension cancel existing H-1B visas? +
No. The PERM suspension does not automatically cancel existing H-1B visas. Individual visa status and employment circumstances must be considered separately.
5. Are existing PERM applications affected? +
News reports indicate that the restrictions cover both new PERM applications and the processing of pending applications involving the affected companies. Employees should confirm their individual case status with their employer or immigration attorney.
6. Does the suspension apply to every Indian IT company? +
No. The reported action specifically names eight companies. It should not be treated as a blanket ban on every Indian IT employer.
7. Can employees still obtain a US Green Card? +
The answer depends on the individual's immigration category, employer, application status and the restrictions that apply to the case. The suspension may create obstacles for workers relying on the affected companies' PERM processes, but it does not establish that every employment-based Green Card route is closed.
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Subin Babu
Founder, Designer, and Developer of ApplyIn, as well as a Digital Marketing Professional and Content Writer specializing in SEO, AEO, GEO, LLMO, AI-powered search optimization, and performance marketing. With over 3 years of experience in the job portal sector across Kerala and throughout India, specializing in recruitment research, SEO, and content strategy to deliver accurate, trustworthy, and verified information on government and private-sector jobs, examinations, and career opportunities while strengthening online visibility and supporting informed career decisions.
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