In brief
The Trump‑aligned administration’s decision to halt the PERM labour‑certification process for firms such as Infosys, Tata Consultancy Services and Microsoft throws a wrench into the career pipeline of millions of Indian tech workers who chase U.S. green cards. While Indian firms claim a shift to local hiring, the move leaves many foreign‑born employees stuck in limbo and fuels rising anti‑Asian online hostility. Alternative routes to residency exist, but they are costly and uncertain, and projected wait times could reach centuries. The policy has sparked diplomatic tension and may face legal challenges, signalling a tougher climate for Indian talent in the U.S.
For generations, Indian engineers have chased the ‘American dream’ by earning a U.S. visa, establishing a career in a tech firm, and then converting that status into a green card under the Permanent Labour Certification Program (PERM).
That long‑established path was disrupted this month when the U.S. government announced the suspension of PERM for eight technology companies, including Microsoft, Infosys, Tata Consultancy Services, Wipro and HCL Technologies. New and pending applications under PERM are now frozen, effectively blocking a key route to U.S. permanent residency for the majority of Indian‑born H‑1B workers at those firms.
While the impact on the companies themselves may be limited—Nasscom reports a shift toward local hiring and a dramatic drop in PERM filings—hundreds of thousands of Indian professionals find themselves stuck in a limbo state. Many have already spent years in the United States, and the delay threatens both their career prospects and the future of their families who have built lives here.
The crackdown has also intensified online hostility against South Asian immigrants. Researchers from Stop AAPI Hate documented a sharp rise in anti‑South Asian sentiment since 2024, and Vice President JD Vance’s remarks about H‑1B workers as “foreign indentured servants” drew harsh condemnation from India’s foreign ministry, which called the comments “unwarranted” and “deeply offensive.”
Alternatives to the PERM route exist—such as the EB‑5 investor program or highly‑skilled talent categories that bypass labour certification—but they come with steep financial barriers or restrictive eligibility requirements. The National Foundation for American Policy estimated that 79% of the 1 million Indian green‑card cases in the backlog could face wait times ranging from five to 179 years.
Legal challenges are likely, as the policy aligns with a series of Trump‑era immigration limits that have repeatedly hit the courts. Nevertheless, the move is part of a broader trend toward tightening U.S. immigration, with implications that may prompt Indian firms to reconsider offshoring decisions and recover talent losses.
As the U.S. tech sector grapples with AI, layoffs and a shifting remote‑work culture, the fate of Indian professionals in America rests on a policy landscape that is becoming increasingly restrictive and uncertain.
