India’s largest IT services exporter, Tata Consultancy Services (TCS), stated on Friday that the US administration’s sudden suspension of the Permanent Labor Certification (PERM) program will not disrupt its workforce operations or client engagements.
The statement follows a major policy crackdown by the US Department of Labor, which barred eight global technology giants—including Indian IT vendors Infosys, TCS, Wipro, HCL, and Cognizant, along with US tech leaders Microsoft, Adobe, and Capgemini—from submitting new PERM applications or processing pending ones.
Minimal Reliance on PERM Filings
In a regulatory filing with the Bombay Stock Exchange (BSE), TCS clarified that its operational exposure to the program remains minimal.
”Our PERM applications were in single digits in the last two years, and hence we do not expect the suspension of the program to impact our workforce strategy and customer engagements,” TCS stated.
The company emphasized its commitment to complying with directives issued by the US Department of Labor while highlighting its ongoing shift toward localized hiring.
Local Hiring and Long-Term US Investment
Addressing concerns regarding foreign labor dependency, TCS highlighted its established footprint across North America. The IT giant operates 31 offices and delivery centers across the United States, anchored by a strong campus recruitment model.
”Our workforce strategy in the US is anchored in hiring local talent… As announced earlier, we intend to hire an additional 15,000 people in the US over the next five years to further augment our local workforce,” the statement added.
US Administration Cites Job Market Protection
The suspension comes amidst vocal criticisms from US officials regarding employment-based immigration channels. US Vice President JD Vance and Labor Secretary Keith Sonderling accused major corporations of misusing temporary H-1B visas and PERM certifications at the expense of American workers.
Under the PERM process—a prerequisite for most employment-based green cards—employers are required to certify that hiring a foreign national will not adversely affect the wages or job availability for domestic workers.
Despite the regulatory policy shift in Washington, TCS remains confident that its local recruitment pipeline will shield its core delivery model from broader operational risks.