The Trump administration has suspended several global tech giants and Indian IT firms from the Permanent Labor Certification Program, dealing a major blow to foreign workers seeking US Green Cards.
US Secretary of Labor Keith Sonderling announced the measure on Thursday (October 8), citing the protection of American jobs and local wage levels.
The restriction targets major Indian outsourcing and IT firms—including Infosys, Tata Consultancy Services, Wipro, HCL, and Cognizant—alongside global tech corporations such as Capgemini, Microsoft, and Adobe.
Sonderling, accompanied by US Vice President JD Vance and the head of the Anti-Fraud Task Force, confirmed that the Department of Labor will no longer accept new applications or process ongoing filings under the program for these companies.
According to Sonderling, the affected companies have filed nearly 3 million foreign worker applications since 2009, securing over 230,000 H-1B visas and more than 100,000 permanent labor certifications. He alleged that these practices undercut opportunities for native workers.
Vice President Vance argued that firms violated proper procedure by posting mandatory job opening notices in obscure, low-circulation local newspapers to claim a lack of qualified local applicants, thereby replacing domestic labor with foreign contract workers.
In response, the National Association of Software and Service Companies (NASSCOM), representing India's tech sector, stated that Indian IT companies have significantly reduced their reliance on H-1B visas in recent years by expanding local hiring within the US and building a strong domestic workforce to support Fortune 500 enterprises.