Washington DC (Rajeev Sharma): The Donald Trump administration has suspended eight major technology companies, including Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies, Microsoft and Adobe, from a key US programme used by employers to sponsor skilled foreign workers for permanent residency.
The US Department of Labour announced on Thursday, October 8, that it would stop accepting new applications and processing pending applications under the Permanent Labour Certification (PERM) programme involving the affected companies. Cognizant and Capgemini are also on the list.
US officials have accused the companies of abusing foreign-worker programmes and harming employment opportunities for American workers. The action could disrupt the green card plans of foreign professionals, particularly Indian IT employees whose route to permanent residency depends on employer-sponsored applications.
The suspension targets the PERM process, not existing H-1B visas. The announcement does not cancel H-1B visas already held by employees of the affected companies.
Which IT Companies Have Been Suspended By The US?
The eight companies named by US Labour Secretary Keith Sonderling are:
- Microsoft
- Adobe
- Cognizant
- Infosys
- Tata Consultancy Services (TCS)
- Wipro
- HCL Technologies
- Capgemini
Sonderling said the department was suspending the six IT outsourcing companies from the programme and also suspending Microsoft and Adobe amid multiple active federal investigations.
The department said it would not accept new or process pending PERM applications involving these companies. The action marks an escalation in the Trump administration’s scrutiny of foreign-worker hiring and employment-based immigration.
Why Has The Trump Administration Taken Action Against These Companies?
US Vice-President JD Vance and Labour Secretary Keith Sonderling accused companies of using foreign-worker programmes in ways that disadvantage American employees.
Sonderling claimed that the companies had requested nearly three million foreign workers since 2009, received more than 230,000 H-1B visa approvals and obtained over 100,000 permanent labour certifications.
“That’s hundreds of thousands of jobs that were taken from American workers,” Sonderling said.
Vance also singled out Microsoft, alleging that the company laid off 6,000 American workers in 2025 while subsequently receiving more than 6,000 H-1B approvals and filing 3,682 PERM applications. He claimed that nearly 1,000 applications involved positions from which American workers had been laid off.
“Our message to Microsoft is: You’re a great American company, but you’ve got to hire great American workers,” Vance said.
These are allegations made by US officials. The announcement of the suspensions does not, by itself, establish that every affected company committed fraud.
What Is The PERM Programme And How Does It Help Foreign Workers?
The Permanent Labour Certification programme, commonly known as PERM, is an important step in the US employment-based green card process
