America. A big news has come for Indian IT professionals working in America. The PERM program, linked to the employment-based green card process for eight big tech companies, including Infosys, HCLTech, TCS and Wipro, has been suspended by President Donald Trump's administration. American officials have accused these companies of alleged abuse of rules related to the recruitment of foreign employees. However, complete details of company-wise alleged violations have not been made public.
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What is the whole matter?
Let us tell you that on October 8, 2026, American officials announced this decision. This included US Vice President JD Vance and Labor Secretary Keith Sonderling. The administration charged that some companies were abusing the immigration system to hire foreign workers at lower costs to replace American workers. At present, investigation into the allegations related to the companies is ongoing.
Action was taken against which eight companies?
1.Microsoft 2.Adobe
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3. Cognizant 4. Infosys
5. Tata / TCS 6. Wipro
7. HCLTech 8. Capgemini
What is the PERM program?
PERM stands for Permanent Labor Certification, which is an important step in the process of getting a green card based on employment. This typically requires the employer to prove that there are no qualified U.S. workers available for the job and that hiring the foreign worker will not adversely affect the wages and working conditions of U.S. workers. Let us tell you that the US Labor Department has banned the affected companies from accepting new PERM applications and further processing the already pending applications.
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How much will Indian employees be affected?
Delay in Green Card Process: Employees of affected companies whose PERM applications are pending may have their permanent residency process halted.
No direct ban on H-1B visas: This decision does not cancel existing H-1B visas or revoke existing green cards.
Concerns of those working in America for a long time: Employees who were hoping to get a green card may have to rethink their immigration plans.
Pressure on IT companies: Companies affected by this may have to review compliance with US regulations, local recruitment and immigration processes.
Let us tell you that the actual severity of these impacts will depend on each employee's visa status, application status and personal circumstances.
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Will this affect the Indian IT sector also?
America is a big market for Indian IT companies. In such a situation, the ban on the process of green card sponsorship may affect the deployment of employees, long-term recruitment plans and strategy to retain talent. However, this decision does not lead to an immediate ban on all IT jobs in India or on all Indians working in the US.
IT industry body National Association of Software and Services Companies (NASSCOM) has also clarified that the PERM process related to green card and the movement of skilled workers should not be considered as a single issue.