The Donald Trump administration’s suspension of major Indian IT companies, including Tata Consultancy Services (TCS), Infosys, Wipro and HCL, from the US Permanent Labour Certification (PERM) programme has raised concerns among Indian professionals hoping to secure Green Cards.
The suspension also affects Cognizant, Capgemini and US technology companies Microsoft and Adobe. The US Department of Labour said it would stop accepting new applications and processing pending permanent labour certifications involving the affected companies, alleging that the system had been abused at the expense of American workers.
While the move does not automatically cancel existing H-1B visas, immigration experts warn that it could make the path to permanent residency more uncertain for Indian technology workers.
What Is Perm And Why Does It Matter?
PERM, or Permanent Labour Certification, is a key stage in the employer-sponsored Green Card process for many foreign workers. Employers generally need to demonstrate to the US Department of Labour that there are no qualified, willing and available American workers for a specific position and that hiring a foreign worker will not adversely affect wages or working conditions.
Once PERM certification is completed, an employer can generally proceed to the next stages of the employment-based Green Card process.
With the affected companies unable to file new PERM applications while the suspension remains in place, employees whose cases have not yet reached this stage could face delays in pursuing permanent residency.
Will Indian H-1B Workers Lose Their Visas?
No. According to immigration attorney Geeta Darubra of Alma Immigration, the suspension does not automatically affect an employee’s valid H-1B status or their ability to live and work in the US while that status remains valid.
The main concern is the Green Card process, rather than an immediate loss of work authorisation. However, prolonged uncertainty could complicate long-term immigration planning, particularly for workers approaching the six-year H-1B limit.
US immigration rules provide certain extensions beyond six years for eligible workers, depending on their circumstances and progress in the employment-based Green Card process. Darubra said workers approaching the limit could face greater difficulties if they do not have a PERM application in process or an approved I-140 petition.
What Happens To Pending Green Card Applications?
Pending PERM applications are not automatically cancelled under the developments described in the report. However, Darubra said they could face greater scrutiny from the Labour Department.
She cautioned that the possibility of increased audits remained speculation and had not been confirmed.
The length of the suspension will be a key factor in determining how significantly workers are affected. US Vice-President JD Vance has said the suspension would remain in place “as long as it needs to”.
Could Tcs, Infosys And Wipro Change Their Hiring Plans?
If the suspension continues, affected companies could reassess their Green Card sponsorship policies and US recruitment strategies.
Darubra said firms might sponsor fewer Green Cards or hire more US workers amid uncertainty over the programme. Such a shift could affect Indian professionals even before their employers begin the permanent residency process.
For Indian H-1B workers, securing a US job may become less predictable as a route to long-term settlement.
Can Companies Use Alternative Visa Routes?
One option employers could consider is the L-1A visa, which is available to eligible executives and managers transferring within the same company. It can also provide a route towards permanent residency through the EB-1C category without the PERM labour certification requirement.
However, L-1A is not a universal alternative for H-1B workers. Eligibility depends on an employee’s role, employment history and individual circumstances.
Why Indian Professionals Face Greater Uncertainty
Indian applicants already face lengthy waits in employment-based Green Card categories such as EB-2 and EB-3. Darubra said another layer of delay could further complicate matters for workers and their dependants, particularly those without an approved I-140.
The suspension could also influence whether Indian professionals choose to build their long-term futures in the US.
What Happens Next?
Key questions remain over how long the suspension will last, how pending applications will be handled and whether the affected companies will change their sponsorship policies.
For now, the key takeaway is that the suspension does not automatically cancel valid H-1B visas. Instead, it blocks an important route towards permanent residency for workers whose employers are affected, leaving many Indian technology professionals facing greater uncertainty about their future in the US.
