US has suspended eight major technology companies from its PERM green card programme. Existing H-1B visas remain valid, but workers seeking permanent residency through affected employers could face delays.

Washington: Thousands of foreign technology professionals, particularly Indian workers employed in the United States, face uncertainty after the Trump administration suspended eight major companies from a key employment-based green card programme.

Announced on October 8, 2026, the restrictions affect Microsoft, Adobe, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies, Cognizant and Capgemini.

The US Department of Labor will stop accepting new Permanent Labor Certification (PERM) applications and processing pending applications involving these companies.

Will existing H-1B visas be cancelled?

No. The restrictions target the employment-based permanent residency process, not the H-1B visa programme itself.

Workers holding valid H-1B status can continue working under existing immigration rules. However, those depending on their employers for green card sponsorship could experience significant delays.

What is the PERM programme?

PERM is an important step towards obtaining employment-based permanent residency in the United States.

Employers generally must demonstrate that qualified American workers are unavailable for the position before sponsoring foreign employees.

Suspending PERM applications therefore creates additional obstacles for workers hoping to transition from temporary employment visas to green cards.

Why has the US imposed restrictions?

Vice President JD Vance and Labor Secretary Keith Sonderling cited concerns about alleged misuse of employment-based immigration programmes and the need to protect American jobs.

Microsoft has defended its hiring practices, stating that approximately 80% of its recent H-1B filings involved existing employees rather than new recruitment.

What should Indian professionals know?

Indian technology professionals approaching H-1B extension deadlines or awaiting employer-sponsored permanent residency may face additional uncertainty.

However, previously approved green cards are not automatically revoked, and the restrictions do not constitute a nationwide suspension of H-1B visas.

The duration of the PERM suspension remains unclear. Affected workers should review their immigration timelines and sponsorship options with qualified immigration advisers.

Impact to Expect

The suspension could delay permanent residency applications, complicate long-term employment planning and increase uncertainty for affected H-1B professionals. Employers may also face greater challenges retaining skilled international workers.