US Freezes Green Card Process At Major IT Companies. Why Indian Employees Are Worried

The US government has suspended eight major technology companies, including TCS, Infosys, Wipro, HCLTech and Microsoft, from the PERM programme, an important step in the employment-based green card process. The move could delay permanent residency plans for employees sponsored by these companies.

Announced on October 8 by US Vice President JD Vance and Labour Secretary Keith Sonderling, the suspension stops the Labour Department from accepting new or processing pending PERM applications involving the affected companies.

Why Has The US Taken This Decision?

The Trump administration alleges that some companies have used foreign-worker programmes at the expense of American employees. Vance specifically accused Microsoft of laying off American workers while benefiting from immigration programmes. These are allegations by the administration, not findings against every affected employee.

What Is PERM?

PERM is the labour-certification process that employers generally need to complete before sponsoring foreign workers for EB-2 or EB-3 green cards. Employers must conduct a prescribed recruitment process to establish that hiring a foreign worker will not adversely affect American workers.

After PERM approval, the employer can file an I-140 immigrant petition before the employee proceeds to the remaining stages of the green card process.

Why Are Indian Employees Worried?

For many Indians working in the US, the green card is not just an immigration document. It is part of a long-term plan to build a life there, buy a home and raise a family without the uncertainty of temporary work status.

The suspension could delay employees whose PERM applications are pending or prevent others from beginning the process through an affected employer. Those who have already moved to the I-140 stage may be in a different position, depending on their individual circumstances.

The anxiety also comes amid existing visa-stamping delays in India. In an Instagram post, @nris_adda described receiving messages from Indians in the US who were struggling to secure emergency visa appointments to travel home. Some, the post said, had been unable to attend their parents’ last rites, while others feared getting stranded in India while waiting for a new visa stamp.

These are separate issues from the PERM suspension. But together, they illustrate the uncertainty some Indians face when trying to balance their lives in the US with family responsibilities back home.

The US State Department’s September 17 visa-wait-time update listed Hyderabad’s next available B1/B2 visitor-visa appointment at 12 months. That figure is for visitor visas, not H-1B stamping, so it should not be treated as the wait time for Indian workers seeking to return to the US.

The PERM suspension itself does not automatically cancel existing H-1B visas or mean employees must leave the country. However, delays could complicate long-term residency plans, particularly for some workers approaching the usual six-year H-1B limit.

What Is The IT Industry Saying?

TCS said on October 9 that it did not expect the suspension to materially affect its workforce strategy or client engagements. The company said its PERM applications had been in the single digits over the previous two years and reiterated its plan to hire 15,000 additional employees in the US over five years.

Nasscom has argued that skilled-worker mobility should not be confused with the green card process, pointing to the industry’s growing focus on local hiring in the US.

What Happens Now?

The duration of the suspension remains unclear. The immediate questions are whether the affected companies challenge the decision and what the Labour Department requires before processing can resume.

For employees, the impact will depend on where they stand in the immigration process. For those who have spent years waiting for permanent residency, however, another delay is the last thing they need.