US Suspends Green Card Processing for 8 Tech Companies: Impact on Indian and Global Workers
Last updated: October 9, 2026
The United States has announced the suspension of a key employment-based immigration process for eight major technology and IT services companies. The decision, announced on October 8, 2026, affects the Permanent Labor Certification (PERM) process, an important step that many employers use when sponsoring foreign workers for employment-based green cards.
The companies named in media reports include Tata Consultancy Services (TCS), Infosys, Wipro, HCLTech, Cognizant, Capgemini, Microsoft and Adobe. The move has raised concerns among foreign professionals who depend on employer sponsorship to pursue permanent residence in the United States.
What Happened on October 8, 2026?
According to reports by Reuters and other news organisations, the US administration announced that it would stop accepting new PERM applications involving the named companies and halt the processing of their pending applications. Officials cited alleged misuse of employment-based immigration programmes and concerns about protecting American workers.
These are allegations and policy justifications reported by officials; they should not be treated as proof that every named company or employee committed wrongdoing. The publicly available reporting does not establish identical findings against every company.
Important verification note: The announcement has been reported by Reuters and Akashvani News. Readers should check subsequent US Department of Labor notices and company statements for formal implementation details, exceptions, appeals or changes to the suspension.
Which 8 Technology Companies Are Affected?
| Company | Headquarters / Origin | Potential relevance |
|---|---|---|
| Tata Consultancy Services (TCS) | India | Indian IT professionals sponsored for US employment |
| Infosys | India | Employees pursuing employer-sponsored permanent residence |
| Wipro | India | Potential delays in affected PERM cases |
| HCLTech | India | Foreign employees whose cases depend on the affected process |
| Cognizant | United States | Potential impact on sponsored workers of different nationalities |
| Capgemini | France | Potential delays for affected foreign employees |
| Microsoft | United States | Employer-sponsored permanent residence cases |
| Adobe | United States | Affected PERM applications, subject to applicable instructions |
Note: Company headquarters are provided for general context. The reported action concerns the companies’ participation in the specified US immigration process, not a restriction on their operations in their home countries.
What Is PERM, and How Is It Different from H-1B?
PERM stands for Permanent Labor Certification. It is a US Department of Labor process generally used by an employer seeking to sponsor a foreign worker for certain employment-based green card categories. The employer must meet applicable requirements, including demonstrating that the relevant hiring process complies with worker-protection rules.
PERM is not itself a green card. It is one stage in a broader process that can include an immigrant petition and an application for permanent residence. Not every green card category requires PERM; some categories have different eligibility and filing routes.
| PERM | H-1B visa |
|---|---|
| A labor-certification step used in certain employment-based green card cases | A temporary US work visa category for qualifying specialty occupations |
| Usually initiated by the sponsoring employer | Requires an eligible petitioning employer and applicable approval |
| The reported suspension affects this process for the named companies | The PERM suspension does not automatically cancel an existing H-1B visa |
Impact on India and Indian IT Professionals
1. Greater uncertainty for employees awaiting green cards
Indian professionals working in the United States through the affected companies may face delays or uncertainty if their employer-sponsored PERM cases fall within the suspension. This is particularly relevant to workers who planned their long-term US careers around employer sponsorship.
2. Possible complications for long-term immigration planning
Some workers use employment-based immigration pathways as part of longer-term plans for their families and careers. A delay may affect those plans. The actual consequences depend on the worker’s current immigration status, case stage, eligibility and any applicable exceptions or alternative routes.
3. Potential changes to company staffing decisions
Companies may reassess how they recruit, retain and assign staff in the United States. Possible responses include greater use of local recruitment, changes in project staffing or alternative lawful immigration pathways where available. These are potential outcomes, not confirmed changes across all eight companies.
4. Will jobs increase or decrease in India?
It is too early to conclude that this decision will automatically increase or reduce IT jobs in India. Indian technology companies serve global customers through teams in several countries. Hiring decisions will depend on client demand, project requirements, costs, immigration rules and each company’s response.
Which Other Countries Could Be Affected?
The measure is a US immigration-policy action, but its effects could extend beyond India because the named companies employ foreign professionals of different nationalities in the United States. The potential impact is tied primarily to the employer and immigration case, not simply to a worker’s passport.
| Country / group | Possible impact |
|---|---|
| India | Potentially significant interest because four named companies are India-origin IT firms and many Indian professionals work in US technology roles. |
| France and other European countries | Foreign workers employed by affected firms, including Capgemini, may be concerned if their US PERM cases are covered. |
| Canada and the United Kingdom | Professionals of these nationalities working for affected US employers could be affected if they rely on the covered process. |
| China, the Philippines and other countries | Potential consequences for eligible foreign employees whose applications are handled through a named company; country-specific totals have not been established by the reports cited here. |
| United States | The administration says the action is intended to protect American workers. Employers and industry observers may also weigh effects on talent recruitment and retention. |
Important clarification: The countries above are not all individually targeted by the measure. This table explains where workers could be affected because of their employment or immigration cases. The cited reports do not provide a verified country-by-country count of impacted workers.
Will All Indian Workers Lose Their US Visas?
No. The reported suspension does not automatically cancel existing H-1B visas, terminate employment contracts or revoke previously issued green cards. It concerns a specific employment-based labor-certification process involving the named companies.
However, an individual worker’s situation can be complicated by visa expiry dates, pending petitions, employment changes or other immigration requirements. Anyone directly affected should review official notices and consult a qualified US immigration attorney rather than relying only on general news reports.
What Have Companies and Industry Representatives Said?
Reuters reported that Microsoft disputed the administration’s characterisation of its immigration filings, saying many of its H-1B filings concerned existing employees rather than new hires. Separately, India’s IT industry body Nasscom said immigration and skilled talent mobility are distinct issues and should not be viewed as the same thing.
Company-specific responses may differ, and a statement about H-1B filings should not automatically be interpreted as a statement about every PERM case. Readers should look for subsequent official company announcements for the latest position.
What Should Affected Employees Do Now?
- Ask the employer’s immigration or HR team whether the specific PERM case is covered by the suspension.
- Keep copies of official case notices, filing receipts and relevant immigration records.
- Check whether any visa, work-authorisation or filing deadline remains applicable.
- Do not assume that a pending PERM application, an H-1B visa or a previously issued green card has the same legal status.
- Seek advice from a qualified US immigration attorney before changing jobs or making major immigration decisions.
- Monitor the US Department of Labor and US Citizenship and Immigration Services for formal updates.
Frequently Asked Questions (FAQ)
When did the United States announce the suspension?
The announcement was reported on October 8, 2026. This article reflects reporting available as of October 9, 2026.
Which eight companies have been named?
The companies named in reports are TCS, Infosys, Wipro, HCLTech, Cognizant, Capgemini, Microsoft and Adobe.
Does this mean all Indian green card applications are stopped?
No. The reported measure concerns PERM applications involving the named companies. It is not a general ban on every Indian citizen or every US employer.
Are existing H-1B visas cancelled?
The reported PERM suspension does not automatically cancel an existing H-1B visa. Individual circumstances and other immigration rules still matter.
Will this affect workers from countries other than India?
Potentially, yes. The relevant factor is whether a foreign worker’s PERM case is connected to a named company and covered by the suspension. No verified country-by-country impact totals are provided in the reports cited here.
Where can readers check official immigration information?
Readers can consult the US Department of Labor’s Foreign Labor Application Gateway and the US Citizenship and Immigration Services website. Formal instructions or later updates should take precedence over general news summaries.
Official and News Sources
- US Department of Labor — Foreign Labor Application Gateway (FLAG): official information about labor-certification programmes.
- US Department of Labor — Foreign Labor Certification: background on employment-based labor-certification processes.
- US Citizenship and Immigration Services (USCIS): official information about US immigration and permanent residence.
- Reuters — Report on the PERM suspension, October 8, 2026.
- Akashvani News — Report dated October 9, 2026.
- ThePrint / PTI — Nasscom’s response, October 9, 2026.
Editorial note: This report was prepared using news coverage available on October 9, 2026. Updates should be added if the US Department of Labor publishes further formal details or affected companies issue new statements.