Impact of US Green Card Suspension on Indian IT Firms: A Closer Look

The recent suspension of eight Indian IT firms from the US permanent labor certification program has led to a significant drop in green card applications. Major companies like Tata, Infosys, and Wipro have reported fewer submissions this year, indicating a potential shift in their operational strategies. Despite the suspension, experts suggest that the overall impact may be less severe than anticipated, as Indian firms have been reducing their reliance on H-1B visas and increasing local hiring in the US. This article delves into the statistics and implications of these changes in the tech industry.

By Narendra Chaudhary Oct 10, 2026, 20:08 IST

US Green Card Applications Decline Among Indian IT Companies

Washington: Indian technology firms are experiencing a notable decrease in green card applications this year, following the US government's suspension of several companies from the permanent labor certification program. This suggests that the suspension may not heavily disrupt their operations.

On Thursday, the US authorities halted the participation of eight IT companies, including major players like Tata, Infosys, Wipro, and HCL, citing concerns that their practices were limiting job opportunities for American workers.

Other affected firms include Capgemini, Cognizant, Microsoft, and Adobe, all of which employ a considerable number of professionals from India.

Data regarding Permanent Labor Certification (PERM) applications reveals that Tata Consultancy Services (TCS) submitted only two applications in the fiscal year 2026, a sharp decline from 513 in 2025 and 1,804 in 2024. Similarly, HCL's filings dropped to 59 in 2026 from 323 the previous year.

Wipro's application numbers also fell, with 257 submissions in 2024 and 523 in 2025. Notably, out of the 257 applications made by Wipro in 2024, 169 were rejected, and 88 were withdrawn.

Infosys had 87 PERM applications in 2024, but data for 2025 and 2026 remains unavailable.

Indian IT firms represented less than 1,400 of the total 117,849 PERM certifications issued last year, accounting for under two percent. This indicates that the immediate effects of the suspension may be less severe than initially thought, according to Vineet Nayar, former CEO of HCL Technologies, in a post on X.

Capgemini's PERM applications fell to 98 in 2026, down from 361 in 2025 and 300 in 2024, as reported by PERM Tracker.

Cognizant had 1,236 PERM applications in 2024, but data for subsequent years is not available.

Both the National Association of Software and Service Companies (NASSCOM) and TCS acknowledged the downward trend in PERM applications from Indian firms.

TCS stated that their PERM applications have been in single digits over the past two years, suggesting that the suspension will not significantly affect their workforce strategy or client relations.

NASSCOM noted that Indian tech companies have progressively reduced their reliance on H-1B visas while enhancing local hiring and developing a robust domestic workforce in the US.

As a result, the number of employees moving from H-1B visas to permanent residency through the PERM process remains relatively low, according to NASSCOM.

A permanent labor certification from the Department of Labor enables employers to hire foreign workers for permanent positions in the United States.

The PERM application is the initial step toward securing a green card, or permanent residency, for professionals holding work visas in the US.