The U.S. Department of Labor has suspended Microsoft, Adobe, and several major information technology companies from the Permanent Labor Certification (PERM) program, a key step in many employment-based green card cases. The companies affected include Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL, and Capgemini. According to the Department of Labor, the suspension means that new PERM applications involving these companies will not be accepted, and pending applications will not be processed while the suspensions remain in effect.
The administration cited alleged misuse of employment-based immigration programs as the basis for the action. In announcing the measure, Vice President JD Vance pointed to concerns about companies using H-1B workers in circumstances where U.S. workers had been laid off or could otherwise have filled similar positions. Microsoft disputed the characterization, stating that most of its recent H-1B filings involved existing employees rather than new hires and that the company pays its H-1B workers competitive wages.
PERM is generally the first major stage of the employer-sponsored green card process for positions that require labor certification. Through this process, an employer must demonstrate to the Department of Labor that there are not sufficient qualified, willing, and available U.S. workers for the position and that hiring the foreign worker will not adversely affect the wages and working conditions of similarly employed U.S. workers. The PERM process is separate from the H-1B program, meaning that the announcement does not itself cancel existing H-1B status or prevent H-1B workers from continuing employment when they otherwise remain authorized to do so.
For employees of the affected companies who are pursuing permanent residence through an employer-sponsored process, the immediate concern is the potential interruption of the PERM stage and the resulting impact on the overall green card timeline. The full effect on individual cases may depend on where each case stands and whether other immigration options are available. The government has not announced a specific timeline for lifting the suspensions or detailed requirements for the companies to regain access to the program.
INLG will continue monitoring developments from the Department of Labor and other relevant agencies. Individuals whose employment-based immigration cases involve one of the affected companies should review their specific circumstances and consider how the suspension may affect their immigration strategy and long-term plans.