Indian IT Giants Infosys, TCS, Wipro, HCL Suspended From US PERM Programme: What It Means For Green Card Applicants
The US Department of Labour has suspended Infosys, TCS, Wipro, HCL, Cognizant, Capgemini, Microsoft and Adobe from the PERM programme for Green Card hiring, citing abuse and active federal investigations. Nine universities will also be probed.
The US Department of Labour has suspended some of the world's biggest IT outsourcing firms, including Infosys, Tata Consultancy Services (TCS), Wipro and HCL, from the Permanent Labour Certification Program (PERM), accusing them of abusing a system meant to help employers hire foreign workers for permanent residency. Labour Secretary Keith Sonderling announced the action against Cognizant, Infosys, TCS, Wipro, HCL and Capgemini, and also suspended tech giants Microsoft and Adobe from the programme, citing multiple active federal investigations. The move also extends to nine universities, including Harvard, Yale and Stanford, which will be investigated over allegations that they brought in international students to undercut American wages.
Microsoft Singled Out By Labour Secretary
Sonderling reserved his sharpest remarks for Microsoft. 'There has been no company in the United States, unfortunately, that has abused this system more than Microsoft,' he said. US Green Card Wait Time: Indians Face Potential 179-Year Delay in EB-2 Category.
US Labour Dept Suspends 8 Major Firms From Green Card Programme
.@Sonderling47: "I am hereby suspending from the Permanent Labor Certification Program some of the largest IT outsourcing firms in the world — Cognizant, Infosys, Tata, Wipro, HCL, and Capgemini — and also, due to multiple active federal investigations, @USDOL is suspending Microsoft and Adobe from the program."
— Rapid Response 47 (@RapidResponse47) October 8, 2026
Vance Cites Layoffs And Visa Numbers
US Vice President JD Vance alleged that Microsoft laid off 6,000 American workers in 2025 after certifying that it could not find qualified American employees. The company was nonetheless approved for more than 6,000 H-1B visas and filed 3,682 PERM applications, he said.
According to Vance, nearly 1,000 of those PERM applications were for the same positions from which American workers had been laid off. H-1B Visa: US Clears Plan To Scrap 60-Day Grace Period – What It Means for Indian Workers.
He said the H-1B visa programme was meant to let companies bring in 'the best of the best' from outside the US for roles American workers could not fill. He alleged that it had instead become 'rife with fraud.'
What Is PERM?
PERM is the official approval from the US Department of Labour that allows an employer to hire a foreign worker for a permanent Green Card. It is typically the first step in the employment-based Green Card process, so a suspension can directly affect companies that sponsor foreign professionals for permanent residency.
Universities Under Scrutiny, Subpoenas Served
Sonderling said the nine universities under investigation allegedly brought in international students to undercut American wages. Labour Inspector General Anthony D'Esposito said subpoenas have already been served.
Microsoft did not immediately respond to a request for comment. The other companies and universities named in the action had not been reported to have responded at the time of writing.
(The above story first appeared on LatestLY on Oct 08, 2026 09:22 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
