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Washington said the action was linked to concerns over visa misuse and multiple ongoing federal investigations.
The Infosys logo is displayed during a press briefing, following the company’s quarterly results announcement at its headquarters in Bengaluru. (Reuters file photo)
The United States has suspended eight major technology firms, including Indian IT giants Infosys, Tata Consultancy Services (TCS), Wipro, HCL and Cognizant, from a programme used to help foreign workers obtain green cards, accusing companies of undermining job opportunities for American workers.
Capgemini, Microsoft and Adobe are also facing suspension from the US Labour Department’s Permanent Labour Certification (PERM) programme. Washington said the action was linked to concerns over visa misuse and multiple ongoing federal investigations.
Vice President JD Vance, Labour Secretary Keith Sonderling and Attorney General Todd Blanche announced the move on Thursday as part of the administration’s anti-fraud drive.
Five Indian IT Firms Among Those Hit
Announcing the action, Sonderling named Cognizant, Infosys, Tata, Wipro, HCL and Capgemini among the firms being suspended. Microsoft and Adobe were also included.
The Labour Department will not accept new applications or process pending PERM applications involving the companies, Sonderling said.
He alleged that the firms had made extensive use of foreign-worker programmes at the expense of US employees.
“Since 2009, just these companies alone have requested almost three million foreign workers,” Sonderling said, adding that they had received more than 230,000 H-1B visa approvals and over 100,000 permanent labour certifications.
Indian professionals account for more than 70 per cent of approved H-1B petitions each year, making the move significant for India’s technology sector and workers seeking opportunities in the US.
Vance Accuses Microsoft Of Visa Abuse
Vance singled out Microsoft, accusing it of laying off American employees while continuing to recruit foreign workers.
The US vice president further alleged that Microsoft cut 6,000 US jobs in 2025 after certifying that it could not find suitably qualified American workers.
The company was subsequently approved for more than 6,000 H-1B visas and filed 3,682 PERM applications, including nearly 1,000 for positions similar to those held by workers who had been laid off, he alleged.
“There has been no company in the United States, unfortunately, that has abused this system more than Microsoft,” Vance said.
In response to Vance’s claims, Microsoft said that 80 per cent of its roughly 6,000 H-1B filings in the last fiscal year were for existing employees, not new hires.
Universities Also Face Visa Probe
The administration also announced an investigation into the J-1 exchange visitor programme at nine universities, including Harvard, Yale, Stanford and Caltech.
Vance alleged that some institutions were using the programme to hire foreign researchers at the expense of American graduates and academics.
The J-1 visa allows foreign nationals to enter the US for research, teaching, study and other approved exchange activities.
(With inputs from PTI)
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