Updated 9 October 2026
The US has suspended eight major tech companies, including TCS, Infosys, Wipro and HCL, from PERM, the first step of the employer-sponsored Green Card process. For thousands of Indian professionals in the US, and for families back home in cities like Bengaluru, the first question is: does this affect me? Here is what is known so far, and what is not.
What happened?
The US Department of Labor announced on Thursday, 8 October, that it is suspending Microsoft, Adobe, Cognizant, Infosys, Capgemini, Tata Consultancy Services (TCS), Wipro and HCL Technologies from the Permanent Labor Certification programme, known as PERM. The announcement was made jointly by Vice President J.D. Vance and Labor Secretary Keith Sonderling, according to Deccan Chronicle and Gulf News.
The Department said it will not accept new PERM applications involving these companies and will not process the pending ones. SHRM reports that the suspension is indefinite and will last until the administration considers its concerns addressed.
Why did the US do this?
The administration says the programme has been abused and has shut Americans out of jobs. It cited allegations of widespread abuse and multiple federal investigations. For Microsoft and Adobe, the Labor Secretary pointed to active federal investigations, but reports gave no further detail. Vance called H-1B workers “foreign indentured servants” and described some of the companies as visa mills.
These are allegations by the administration. They have not been proven in court against any of these companies. I did not find a response from the Indian companies in the reports I saw. The Department also ordered an investigation into the J-1 visa programme for research scholars used by nine major universities.
What is PERM, in simple words?
Getting a Green Card through a job has three main steps:
- PERM (Department of Labor). The employer shows that it tried to hire a qualified American for the job and found none. This step is labour certification.
- I-140 petition (immigration service). The employer asks the US government to approve the worker as eligible.
- Green Card application. When the worker’s place in the queue comes up, they apply for permanent residency.
The suspension stops the first step for these companies. Without PERM, the later steps cannot start.
What it does and does not mean
- It is not a cancellation of all H-1B visas. Current H-1B visas are not cancelled by this move.
- It is not a ban on Indians getting Green Cards. The suspension covers PERM filings involving the eight named companies. Workers sponsored by other employers are not covered.
- Existing Green Cards. I found nothing in the reports suggesting that people who already hold Green Cards are affected, but check this against official statements.
Who could be hurt?
- Employees of the eight companies who were waiting for their employer to start or finish PERM. Their Green Card plans could be delayed for as long as the suspension lasts.
- H-1B holders near the six-year limit. An H-1B visa generally lasts six years, and a pending Green Card process can allow extensions beyond that. A frozen PERM could complicate this for some workers. An immigration lawyer can confirm how it applies to a particular case.
- Families. Spouses and children’s status often depends on the worker’s, so delays affect them too.
- The companies. The Indian firms and others rely on sponsorship to keep experienced staff, so this raises their costs and uncertainty.
India already has a very long wait for employment-based Green Cards, which makes any delay more serious.
The wider picture
This is part of a broader tightening of US immigration policy under President Trump. Gulf News reports that the administration has also extended its order on a $100,000 H-1B fee, which faces a court challenge. I have not verified the details of that order.
What should affected workers do?
This is general information, not legal advice.
- Ask your employer’s immigration team how your case is affected.
- Keep your documents safe, including your approval notices and pay records.
- Speak to an immigration lawyer if your case involves an H-1B extension or a deadline.
- Be careful with rumours. Wait for official statements.
Frequently asked questions
Are existing Green Cards cancelled?
I found no report saying so. The suspension covers PERM applications, the first step of the process, involving the eight named companies.
Does this cancel H-1B visas?
No. It targets the Green Card sponsorship process, not current H-1B visas. Some H-1B holders could still be affected indirectly, for example when seeking extensions.
Which companies are suspended?
Microsoft, Adobe, Cognizant, Infosys, Capgemini, TCS, Wipro and HCL Technologies.
How long will the suspension last?
Reports say it is indefinite, until the administration considers its concerns addressed.
Does it affect workers sponsored by other companies?
Based on the reports, the suspension covers only the named companies.
What to watch
- How long the suspension lasts, and whether the companies are cleared.
- Court challenges by the companies or by affected workers.
- Responses from the Indian companies and from the Indian government.
- Whether other companies are added to the list.
The bottom line
The US has frozen the first step of the Green Card process for eight major employers, including TCS, Infosys, Wipro and HCL. It does not cancel all visas or Green Cards, but it could delay the plans of many Indian professionals. Much depends on how long it lasts and how the companies respond.
Sources: Reuters (as reported by Gulf News), SHRM, CNBC (via Traders Agency), Deccan Chronicle and PGurus, 8 to 9 October 2026.