The US has suspended Microsoft, Adobe, Infosys, TCS, Wipro and other technology firms from the PERM green card programme amid federal investigations.
The United States has suspended eight major technology and IT-services companies—including Microsoft, Adobe, Infosys and Tata Consultancy Services—from a key employment-based green card programme.
The action prevents the affected companies from submitting new applications or advancing pending cases through the Permanent Labor Certification process, commonly known as PERM. The suspension could delay permanent-residency applications for thousands of foreign professionals, including Indian technology workers.
Companies Suspended From PERM
The eight companies covered by the US Department of Labor’s action are:
- Microsoft
- Adobe
- Cognizant
- Infosys
- Tata Consultancy Services
- Wipro
- HCL Technologies
- Capgemini
US Labor Secretary Keith Sonderling said the companies would be suspended while federal authorities investigated possible misuse of employment-based immigration programmes.
Why Microsoft Was Singled Out
US Vice-President JD Vance accused Microsoft of misusing immigration programmes while reducing its American workforce.
Vance claimed that Microsoft had laid off thousands of US employees while receiving approximately 6,300 H-1B visas and nearly 3,000 employment-based green cards. Microsoft is reportedly the largest filer of PERM applications.
Microsoft disputed the broader characterisation of its hiring practices. The company said around 80% of its recent H-1B filings involved extensions or status changes for existing employees instead of new overseas recruitment.
Microsoft also emphasised that most of its workforce in the United States consists of American citizens and that it pays competitive salaries.
What Is the PERM Programme?
PERM is generally the first stage in many employer-sponsored green card applications.
Before sponsoring a foreign worker for permanent residency, an employer must demonstrate that qualified US workers are not available for the position and that employing the foreign worker will not negatively affect local wages or working conditions.
A Department of Labor certification permits an employer to move to subsequent stages of the employment-based green card process.
What the Suspension Means for Indian Workers
The action does not automatically cancel existing H-1B visas, order workers to leave the United States or impose a general prohibition on the companies employing foreign professionals.
However, employees relying on one of the suspended firms to sponsor their permanent residency may face significant delays. The precise effect will depend on whether their PERM applications were pending, approved or had already moved to later stages involving US Citizenship and Immigration Services.
Workers should consult their employer’s immigration team or an accredited US immigration lawyer before making decisions about employment or visa status.
The government has not clearly stated how long the suspension will remain in effect or what conditions the companies must satisfy before they can resume PERM filings.
Universities Also Face Investigation
Alongside the corporate suspensions, US authorities opened investigations involving nine leading universities over their use of J-1 exchange-visitor visas.
Institutions reportedly facing scrutiny include Harvard, Yale, Stanford and the Massachusetts Institute of Technology. Authorities are examining whether exchange programmes were used in ways that suppressed wages or displaced American workers.
The combined actions represent a significant expansion of the Trump administration’s scrutiny of skilled-worker immigration and employer-sponsored permanent residency.
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