Microsoft and Other Big Employers Just Got Suspended From Filing PERM Applications…
If you work at Microsoft, Infosys, TCS, Wipro, HCL or Capgemini, your phone is probably blowing up. Headlines are saying these companies have been "barred from the green card program," and if your green card is in progress, that phrase is enough to make you feel sick. So let's slow down and look at what was actually announced, what wasn't, and what is still unknown.
What Was Announced
On Thursday, October 8, Vice President JD Vance and Labor Secretary Keith Sonderling announced that the Department of Labor is suspending a group of large employers from the Permanent Labor Certification program, which most of us call PERM. According to reporting from VisaVerge and GeekWire, Sonderling said the department will not accept any new PERM applications involving these companies, and will not process the ones already pending.
The companies named across the reports are Microsoft, Infosys, Tata, Wipro, HCL and Capgemini, along with Cognizant, which was already suspended last month. Most outlets I checked (GeekWire, also list Adobe, but Bloomberg Law says Adobe was not among the suspended companies. Reports also differ on whether "Tata" means Tata Consultancy Services specifically. I'd treat both as unconfirmed until the Labor Department publishes its own list.
So What Is PERM, Exactly?
PERM is the labor certification step. For many employment-based green cards, the employer has to run a recruitment process and ask the Department of Labor to certify that there are no available, minimally qualified U.S. workers for the job. That certification comes first. After that, the employer files the I-140 petition with USCIS.
PERM applications are filed with the Department of Labor, not USCIS decision. When a headline says the Department of Labor has suspended a company “from the green card program," what it means in practice is that this initial step is frozen for these employers.
What the Reports Say It Does Not Do
The suspension does not stop Microsoft from filing H-1B petitions.
The suspension does not cancel anyone's H-1B status.
The suspension does not cancel or revoke PERM certifications already issued.
The suspension does not revoke I-140 petitions already approved by USCIS.
These will develop over time, so please confirm it with your attorney or the Department of Labor before making any decisions.
What Nobody Knows Yet
No published order is available yet, so there are still many unanswered questions.
One thing to consider if you are an H-1B holder is that (as you likely know) H-1B holders can extend past the six-year limit if a PERM or I-140 was filed at least 365 days before reaching it. If your PERM is one of the ones now frozen, ask your attorney how that is being treated.
Allegations Are Not Findings
Vice President Vance said Microsoft laid off 6,000 American workers while obtaining 6,300 H-1B visas and almost 3,000 green cards, as reported by PBS and Al Jazeera. Those are his claims. We have no verification of that, as of yet.
Microsoft put out a statement saying that about 80 percent of the roughly 6,000 H-1B applications it filed last fiscal year were extensions or changes for people already working there, and that the rest were new hires already living in the U.S. legally. The statement didn't address the suspension directly. Secretary Sonderling also cited multiple active federal investigations, but no findings have been published, and the figures he gave about the companies' filings since 2009 haven't been independently verified either.
It is important to understand that announced suspension tied to investigations, and concrete findings that there is any wrong doing are different. Right now we have the first, not the second.
One More Thing on the Horizon
The same day, the administration said it is opening investigations into J-1 visa use at nine universities, including Harvard, Stanford and MIT. That's a separate program from the one above, and the details are thin.
TLDR
The Labor Department says it will not accept or process PERM applications for Microsoft, Infosys, Tata, Wipro, HCL and Capgemini, with some reports adding Adobe. Cognizant was already suspended on September 8 and is now part of the larger group. PERM is one early green card step, and is a different lane than your H-1B. Reports say existing H-1B status, approved PERMs and approved I-140s are not erased, but confirm that for your own case. How long this lasts and what happens to pending cases are still unknown.
Please don't resign, panic or change your plans based on a headline. Find out from your employer or attorney exactly which stage your green card case is in (PERM pending, PERM approved, I-140 filed or approved), keep your own copy of every document and receipt you have, and watch for an official Labor Department notice.
This post is for general information only and is not legal advice. For guidance on your specific situation, please consult a licensed immigration attorney.
