The US government has suspended the green card programme for major IT firms, including Infosys, TCS and Wipro. The government has announced that they have barred the programme following allegations of widespread visa system abuse and ongoing federal investigations.
A total of 8 companies have been suspended so far, according to reports. After the H1-B visa hike, jobseekers and employers face a major crackdown. On Thursday, the US blocked eight IT firms, including Microsoft, Cognizant, Wipro, Infosys and TCS, from a program that allows foreign workers to apply for green cards, claiming that the practice has excluded Americans from the labor market.
US Labour Secretary Keith Sonderling announced that the green card programme will be barred. “Microsoft laid off 6,000 American workers in 2025 after certifying that it could not find qualified American employees – yet the company was approved for more than 6,000 H-1Bs and filed 3,682 PERM applications, including nearly 1,000 applications for the same positions as the laid-off American workers,” Vice President JD Vance said.
A significant portion of H-1B applications come from India. As a result, there’s a chance that the most current events will have a big impact on Indian technology workers and engineers in the US, according to media reports.
Vice President JD Vance announces the suspension of the PERM Program for Microsoft: “Thanks to an ongoing investigation, we have decided to suspend the PERM program for Microsoft, which means they will no longer be able to take those H-1Bs and apply for permanent resident status within the United States of America. Now our message to Microsoft and to any other foreign or domestic corporation is quite simple. We obviously want you to thrive in the United States of America. We want people to invest in the United States of America, particularly the American technology sector. We’re the biggest boosters of your industry. We want you to continue to grow and to employ a lot of people, but we want you to employ American workers. And so our message to Microsoft is, you’re great American company, but you’ve got to hire great American workers. You cannot lay off American workers and then replace them with foreign indentured servants.” — Vice President JD Vance (@VP) October 8, 2026
India’s biggest IT services company, TCS, stated on Friday that it does not anticipate the US green card program’s action to have an impact on its workforce plan or client interactions, citing its single digit applications under the program over the past two years and its emphasis on local hiring.
“Our PERM applications were in single digits in the last two years and, hence, we do not expect the suspension of the program to impact our workforce strategy and customer engagements,” TCS said in a statement, PTI reports.
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