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US Suspends TCS, Infosys, Wipro, HCL and 4 Other Tech Firms From Green Card (PERM) Programme: What It Means for Indian Techies

US Halts Green Cards for TCS, Infosys, Wipro, HCL | Explained

In one of the biggest immigration actions to hit the Indian IT industry, the United States has suspended eight technology companies from the programme that starts the employer-sponsored green card process. The list includes India's largest IT services firms — Tata Consultancy Services (TCS), Infosys, Wipro and HCLTech — along with Cognizant, Capgemini, Microsoft and Adobe.

The announcement was made at the White House on 8 October 2026. For thousands of Indian professionals working in the US, or hoping to move there, it raises urgent questions. This guide explains what was announced, what it does and does not affect, and what you can do now.

What was announced?

US Labor Secretary Keith Sonderling announced that the Department of Labor is suspending the eight companies from the Permanent Labor Certification (PERM) programme. He was joined by Vice President JD Vance, who heads the administration's anti-fraud task force.

According to the announcement, the Department will not accept any new PERM applications from these companies and will not process applications that are already pending.

The companies named are:

  • IT services and outsourcing firms: Tata Consultancy Services, Infosys, Wipro, HCLTech, Cognizant and Capgemini
  • Technology product companies: Microsoft and Adobe, which the Department said were suspended because of multiple active federal investigations

Why did the US take this action?

The administration's stated position is that these companies used US immigration programmes in ways that harmed American workers. Secretary Sonderling said that since 2009, the named companies together sought close to three million foreign workers and received more than 230,000 H-1B approvals and over 100,000 PERM certifications. Vice President Vance alleged that H-1B workers are paid less than comparable American employees.

On Microsoft specifically, Vance said the company laid off about 6,000 American workers in 2025 while filing 3,682 PERM applications, nearly 1,000 of them for the same positions as the laid-off workers. As reported, these are the Vice President's claims and not verified findings.

All of this reflects allegations made by the administration. As of publication, the Department of Labor has not publicly set out specific violations against each company, and none of the companies has been found to have committed wrongdoing in these matters. Separately, a proposed PERM rule covering recruitment standards, layoffs and non-discrimination is reportedly under White House review.

How we got here: a timeline

  • September 2025: The Department of Labor launches Project Firewall, an H-1B enforcement initiative.
  • July 2026: The Labor Department's Office of Inspector General opens an investigation into suspected fraud in the H-1B and PERM programmes.
  • 8 September 2026: The Inspector General suspends new PERM filings by Cognizant and Cloudera.
  • 8 October 2026: The Labor Secretary suspends eight companies, including TCS, Infosys, Wipro and HCLTech, from the PERM programme.

What is PERM and why does it matter?

PERM is the labour certification process run by the US Department of Labor. For most employer-sponsored green cards in the EB-2 and EB-3 categories, it is the mandatory first step. The employer must prove, through a structured recruitment process, that no qualified US worker is available for the role at the required wage.

The usual path to an employer-sponsored green card is:

  1. PERM labour certification — filed by the employer with the Department of Labor.
  2. Form I-140 — the immigrant petition filed with USCIS. Once approved, it secures your place in the queue (your priority date).
  3. Green card stage — adjustment of status or consular processing, once your priority date becomes current in the Visa Bulletin.

With PERM blocked, employees of the eight companies cannot start or progress the green card process through their current employer for as long as the suspension lasts.

What is affected — and what is not

Affected

  • New PERM applications from the eight companies will not be accepted.
  • PERM applications already filed by these companies and still pending are on hold.

Not directly affected (based on current information)

  • Current H-1B status: The action is not a blanket suspension of H-1B visas. Your existing H-1B status and work authorisation do not end because of it.
  • Other employers: The employment-based green card system continues to operate for companies not on the list.
  • Approved visas and green cards: Reports say already-approved H-1B visas and green cards are not being revoked. The action targets the permanent residency pathway.

Still unclear

  • Duration: No end date has been announced. Reports describe the suspension as open-ended, lasting until the administration considers its concerns addressed.
  • Already-certified PERMs: The announcement does not separately address PERM applications certified before 8 October.
  • Written details: No detailed written notice or legal basis has been published so far, beyond references to active federal investigations.

Who is most affected?

Employees whose PERM has not been filed or is still pending

This group faces the biggest disruption. Their green card process cannot move forward with their current employer until the suspension is lifted.

H-1B holders approaching the six-year limit

An H-1B is generally limited to six years. Holders stuck in the green card backlog can often extend beyond that, but only if a PERM or I-140 was filed early enough. Because the wait for Indian applicants is far longer than six years, many Indian H-1B workers rely on a certified PERM to stay past the limit. Professionals near their maximum date, with no PERM filed or certified, may not have time to restart the process elsewhere and could be forced to leave the US, so early legal advice is especially important.

Employers and employees with recruitment already underway

Before filing a PERM, the employer must complete a costly and time-consuming "test recruitment", and the filing must happen within a set window afterwards. If an affected company cannot file in time, that recruitment effort may be lost.

Employees with an approved I-140

If your I-140 is already approved, US rules generally allow you to keep your priority date even if you move to a different employer, unless the approval is revoked for fraud or misrepresentation. A new employer would need to file a fresh PERM and I-140, but you would not lose your place in the queue.

Job seekers in India planning an onsite career

If a long-term US move through one of these employers was part of your plan, the path now has more uncertainty. It is sensible to weigh sponsorship policy when comparing offers.

How has the industry responded?

Nasscom, the Indian IT industry body, said that skilled talent mobility and immigration should be treated as separate issues. It noted that Indian technology firms have reduced their dependence on H-1B visas over the years, expanded hiring in the US, and that only a limited number of H-1B holders move to permanent residency through PERM. It added that member companies will continue to comply with US rules.

Microsoft said it values the American workforce and that its remaining H-1B filings relate to people already in the US, making up about 1% of its US workforce.

The bigger picture: India's green card backlog

This suspension adds to an already long wait. Because of per-country limits, Indian applicants face some of the longest queues in the employment-based system. The October 2026 Visa Bulletin restored availability in EB-2 India for the new fiscal year, but the cut-off date for Indian applicants remains more than a decade behind most other countries.

Practical steps if you are affected

  1. Confirm exactly where your case stands. Ask HR or your company's immigration counsel whether your PERM is not started, pending or certified, and whether your I-140 is filed or approved.
  2. Collect your documents. Keep copies of approval notices, receipt numbers, pay slips, I-94 records and employment letters.
  3. Check your H-1B timeline. Note how many years you have used. If you are close to six years, act early.
  4. Get independent legal advice from a qualified US immigration attorney before changing jobs or making any major decision.
  5. Track official updates from the US Department of Labor and the monthly Visa Bulletin rather than social media forwards.
  6. Ask about routes that do not need PERM. Depending on your profile, an attorney may discuss a National Interest Waiver (which can be self-filed by people with an advanced degree or exceptional ability) or EB-1 (no PERM required, and some cases can be self-filed). These will not suit everyone.
  7. Keep your options open. Whether that means moving to an employer with an active sponsorship programme or pursuing strong roles in India, an up-to-date resume lets you move quickly.

Get your profile ready

When the ground shifts, being prepared puts you in control. These free tools can help:

Frequently asked questions

Has the US stopped all green cards for Indians?

No. The suspension applies to PERM applications involving the eight named companies. Indian professionals working for other employers can still go through the employment-based green card process, subject to the usual backlog.

Which companies have been suspended?

Tata Consultancy Services, Infosys, Wipro, HCLTech, Cognizant, Capgemini, Microsoft and Adobe. Separately, Cloudera's new PERM filings were suspended in September 2026.

Will I lose my H-1B status?

Not because of this announcement alone. It is not a blanket H-1B suspension, and current status remains valid. H-1B holders near the six-year limit should still seek legal advice about extensions.

What happens to my pending PERM application?

The Department of Labor has said it will not process pending applications involving these companies while the suspension is in place. No timeline has been announced.

Can I change employers to continue my green card process?

Generally, yes. A new employer not on the list can sponsor you by filing a new PERM. If your I-140 was already approved, you can usually keep your priority date. Get legal advice for your specific case first.

How long will the suspension last?

No end date has been announced. Reports describe it as open-ended, in place until the administration considers its concerns addressed.

Are there green card routes that do not need PERM?

Yes. EB-1 and the National Interest Waiver (an EB-2 route) do not require a PERM, and some applicants can self-file. Eligibility is strict, so speak to an immigration attorney about your profile.

Sources

Last updated: 9 October 2026. Disclaimer: This article is for general information only and is not legal advice. Immigration rules and enforcement actions change frequently. Consult a qualified US immigration attorney about your specific situation.

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