US Suspends TCS, Infosys, Wipro and 5 Other IT Firms from Green Card Process

The US administration has suspended eight technology and IT services companies, including Tata Consultancy Services (TCS), Infosys, Wipro and HCLTech, from the employment-based green card process.

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The decision, announced on October 8, 2026, stops the US Department of Labor from accepting new or processing pending applications under the Permanent Labor Certification (PERM) programme involving these companies.

The action also covers Cognizant, Microsoft, Adobe and Capgemini. US officials said the move was linked to investigations into alleged misuse of the programme and concerns that foreign workers were being hired at the expense of American workers.

What Does the PERM Suspension Mean?

PERM is an important step in the US employment-based green card process. Under the programme, an employer generally must demonstrate that qualified and available US workers are not available for the position and that hiring a foreign worker will not adversely affect the wages and working conditions of similarly employed US workers.

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The suspension blocks the affected companies from filing new PERM applications or getting their pending applications processed. This could delay the permanent residency plans of employees who depend on employer sponsorship.

Also Read: TCS Adds 4,258 Employees in Q2, Headcount Reaches 5.98 Lakh

However, the action does not automatically cancel existing H-1B visas or revoke green cards already granted. Its impact will depend on each employee’s stage in the immigration process and the further directions issued by US authorities.

US officials said the eight companies had collectively sought nearly three million foreign workers since 2009. They also cited more than 230,000 H-1B visa approvals and over 100,000 permanent labour certifications.

These figures were presented by the administration as part of its justification for the suspension.

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Limited Exposure for Indian IT Firms?

The available data suggests that the impact on Indian IT companies may be limited in terms of recent PERM approvals, although individual employees awaiting sponsorship could face delays.

Data cited in media reports from US Department of Labor records showed that Wipro received 523 PERM approvals in fiscal 2025, TCS received 513 and HCLTech received 393.

Together, these figures totalled 1,429 approvals. Infosys had no recorded PERM cases since 2022, according to the same reports.

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TCS said it does not expect the suspension to have a material impact on its workforce strategy or client engagements.

The company said its PERM applications had been in single digits over the previous two years and reiterated its plan to hire 15,000 employees in the US over the next five years.

TCS also said its US workforce strategy focuses on local hiring and campus recruitment.

Industry body Nasscom said the number of employees moving from H-1B visas to permanent residency through PERM is relatively limited.

It also noted that Indian technology companies have reduced their reliance on H-1B visas and expanded local hiring in the US.

What It Means for Indian Professionals

The immediate concern is for employees whose green card applications have not yet entered or completed the PERM stage. They may face delays in starting or progressing through the employer-sponsored permanent residency route.

The suspension is specific to the named companies and the PERM programme. It is not a blanket ban on Indian professionals working in the US, nor does it automatically end their current employment or visa status.

The duration of the suspension and the treatment of individual cases will depend on further action by US authorities.

For affected employees, the next steps will depend on their current immigration status, the stage of their green card application and any applicable options under US immigration rules.

Final Comments

The US decision creates uncertainty for employees seeking permanent residency through the eight affected companies. However, available data and TCS’s response suggest that the impact on the company’s overall workforce plans may be limited.

The more immediate issue is the potential delay faced by individual professionals relying on the PERM process to obtain a US green card.