As of October 15, 2026: The U.S. Department of Labor has suspended eight technology companies from the PERM labor certification program, a key step in many employer-sponsored green card applications. The companies are Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies and Capgemini. The suspension covers new PERM applications and pending applications involving these companies. www.reuters.com
The announcement has raised questions about U.S. work visas and green card sponsorship. The action applies to the named companies’ participation in PERM. It is not a general ban on all U.S. IT companies hiring foreign workers.
What is the PERM program?
PERM, or Permanent Labor Certification, is administered by the U.S. Department of Labor. For many employer-sponsored green card cases, the employer must first obtain PERM certification before moving on to an immigrant petition with U.S. Citizenship and Immigration Services.
The employer must show that there are not enough qualified, available U.S. workers for the position and that hiring a foreign worker will not adversely affect the wages and working conditions of similarly employed U.S. workers. The employer, rather than the worker, starts the PERM process. flag.dol.gov
Does the suspension mean these IT companies can no longer sponsor any visas?
No. The reported action concerns PERM labor certifications, which are used in many employer-sponsored green card cases. It does not automatically suspend all work visas or cancel current visa status.
In particular, the PERM suspension does not directly affect current H-1B visa holders. However, workers who were relying on an employer at one of the named companies to start or continue a PERM case may face delays or lose access to that specific green card route while the suspension remains in place. www.reuters.com
Why did the U.S. suspend these companies?
U.S. officials said the action is connected to concerns about alleged misuse of employment-based immigration programs and protecting U.S. workers. Microsoft disputed the administration’s claims. The company said most of its H-1B applications in the previous fiscal year involved current employees and that H-1B workers receive the same compensation as other employees doing comparable work. www.reuters.com
The issue remains contested. On October 15, Microsoft President Brad Smith warned that restricting green card pathways for skilled foreign workers could harm U.S. technological competitiveness and lead talent to seek opportunities elsewhere. www.reuters.com
What does the PERM suspension mean for affected workers?
The impact depends on the worker’s employer, immigration status and stage in the green card process. Employees at one of the eight named companies should confirm with their employer or immigration counsel whether their PERM application is affected and what options may be available.
The suspension does not, by itself, mean every affected employee must leave the United States. A person’s ability to remain and work depends on their current immigration status and individual circumstances. Other immigration options may exist for some people, but eligibility is case-specific and should be reviewed with a qualified U.S. immigration lawyer.
What happens next?
The duration of the suspension and its effect on individual cases remain uncertain. The administration said it would not accept new or process pending PERM applications involving the named companies. The practical impact may differ depending on each worker’s case history. www.reuters.com
Affected workers can ask their employer for the status of their PERM case and speak with a U.S. immigration lawyer about their current status, timelines and possible alternatives.
Frequently asked questions
Which IT companies are suspended from the U.S. PERM program?
The eight named companies are Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies and Capgemini. www.reuters.com
Are H-1B visas suspended for employees of these companies?
The announcement concerns PERM labor certification, not a blanket suspension of H-1B visas. The PERM action does not automatically cancel an employee’s existing H-1B status. www.reuters.com
Can employees at these companies still get a U.S. green card?
The suspension blocks new and pending PERM applications involving the named companies, affecting a common employer-sponsored route. Whether another route is available depends on the person’s circumstances and eligibility.
What should an affected worker do?
Ask the employer for the status of the PERM case and consult a U.S. immigration lawyer about current status, timelines and possible alternatives. Individual circumstances can differ, so workers should not rely on general news coverage to determine their case outcome.
