Washington: The United States has suspended eight major technology companies from its employment-based green card program, including Indian IT giants Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies and Cognizant, along with Capgemini, Microsoft and Adobe.
The US Department of Labor announced the move on October 8, 2026, amid concerns over alleged misuse of employment-based immigration programs and the protection of American jobs. US officials have raised allegations of fraud and questioned whether some companies have used foreign-worker recruitment to replace domestic employees. The allegations remain subject to the relevant investigations.
The suspension prevents the affected companies from submitting new applications or proceeding with pending applications under the Permanent Labor Certification (PERM) program, a key step in sponsoring eligible foreign workers for employment-based green cards.
However, the measure does not automatically cancel existing H-1B visas or prohibit all employees of these companies from working in the United States. Its immediate impact is on the PERM-based permanent residency process.
The decision could delay green card applications for affected foreign professionals, including Indian technology workers, while increasing uncertainty around employer-sponsored immigration. The longer-term impact will depend on the investigations and any subsequent government decisions.
The move marks a significant development in the Trump administration’s scrutiny of employment-based immigration and hiring practices across the US technology sector.
Sources: Reuters, TechCrunch and The Economic Times.

