The US has blocked eight major technology companies from using a key Green Card process. For Indian tech workers, the bigger question is what this means for jobs, immigration and the future of working in America.
The US government has suspended eight major technology companies from using PERM, an important step in many employer-sponsored Green Card applications. The list includes Microsoft, Infosys, TCS, Wipro, HCL, Cognizant, Adobe and Capgemini.
But this is not a Green Card ban. The government has restricted these companies from using one important route through which foreign employees can move from temporary work visas to permanent residency.
What does PERM mean for Green Card applicants?
Before sponsoring many foreign employees for permanent residency, a US employer must generally show that it tried to find a qualified American worker for the position and that hiring the foreign employee will not adversely affect local wages or job opportunities.
The process typically looks like this:
US job → PERM approval → Green Card process moves forward
If an employer cannot file or process PERM applications, employees may still be able to work in the US on valid H-1B visas. However, their route to permanent residency could stall.
Why does this matter more for Indian workers?
Indian professionals already face a long employment-based Green Card backlog.
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Long waiting periods: The October 2026 Visa Bulletin lists India’s Final Action Dates as November 1, 2013, for EB-2 and January 1, 2014, for EB-3.
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Further delays: The PERM suspension could make it harder for affected employees to move forward with their employer-sponsored Green Card applications.
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Greater uncertainty: Workers may continue working in the US on valid visas while waiting to learn when their permanent residency process can progress.
This does not mean thousands of workers are suddenly facing deportation. The concern is that an already lengthy process could become even less predictable.
Why did the US target these companies?
The government’s stated objective is to protect American workers. Its argument is that companies should not lay off employees in the US while relying on foreign workers and employment-based immigration programmes.
However, the technology industry is more complicated than a straightforward choice between American and foreign workers. Visa applications can involve renewals, existing employees and specialised roles that companies say are difficult to fill locally.
Companies also have another option: they can move the work itself.
What if the jobs move to India instead?
If hiring foreign workers becomes harder, US technology companies have another option: move some of the work to India.
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Hiring from India: A US company that needs 100 software engineers could hire some in America and build the rest of its team in Bengaluru, Hyderabad, Pune or other Indian technology hubs.
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A shift in H-1B hiring: According to the National Foundation for American Policy, the top seven India-based companies received 4,573 approvals for new H-1B employment in FY2025, down 70% from FY2015.
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More work delivered from India: Indian IT companies have increasingly relied on local hiring in the US while continuing to deliver projects from India.
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Growing GCCs: Multinational companies can build Global Capability Centres (GCCs) in India to handle global product development, AI, analytics and engineering without relocating every employee to the US.
This changes the question. It is no longer just about whether an Indian or American worker gets a job in the US, but whether that job needs to be based in America at all.
Does India automatically benefit?
Not necessarily. Tougher US immigration rules do not guarantee more jobs in India. Companies could hire more Americans, move work to India, expand in Canada or Europe, slow hiring or automate certain tasks.
Still, India has advantages: a large technology talent pool, established IT services companies and a growing network of GCCs. As companies explore alternatives to relocating workers to the US, India is likely to remain one of the destinations they consider.
For professionals hoping to settle permanently in America, this offers little comfort. But for India’s technology sector, it could mean more global work stays in India rather than moving abroad with employees.
So, is this really a Green Card ban?
No. The US has not shut down the Green Card system. Family-based Green Cards remain available, other employment-based routes continue to exist, companies outside these eight firms can still sponsor employees, and not every employment-based Green Card category requires PERM.
The restriction is narrower: eight major technology companies have been blocked from using a crucial part of the employer-sponsored Green Card process.
It is a serious development for employees who depend on these companies, but it is not the same as America banning Green Cards.
What happens next?
For years, many Indian tech professionals followed a familiar path: move to the US on an H-1B visa, enter the Green Card queue, and work towards permanent residency.
Now, some may consider other countries or choose to work for global companies from India. Companies, too, may rethink where they hire and build their teams.
That leaves us with a more important question than whether the US is about to ban Green Cards:
If it becomes harder for skilled workers to move to American technology jobs, will more of those jobs eventually move to the workers instead?
That is the part worth watching.