technology & policy•Fri, October 9, 2026•5 min read

US Suspends Microsoft, Adobe, and Top IT Firms From PERM Green Card Program

The Trump administration has halted PERM green card applications for several major technology and IT services companies following allegations of program abuse. The move creates significant uncertainty for thousands of H-1B visa holders currently working in the US. Here is the breakdown of how this enforcement action is reshaping the landscape for foreign workers.

A Major Crackdown on Employment-Based Immigration

In a sweeping enforcement escalation, the US government has suspended several prominent technology and IT services companies from the PERM (Program Electronic Review Management) green card program. The list of affected firms includes tech titans like Microsoft and Adobe, alongside major IT service providers such as Cognizant, Infosys, TCS, Wipro, HCL, and Capgemini.

The PERM program is the first step in the permanent residency process for many employment-based immigrants. By suspending these companies, the administration has effectively blocked them from sponsoring new green card applications for their H-1B visa employees. Officials, including Vice President JD Vance, have framed the move as an effort to protect American workers and combat what the administration labels as systemic fraud within the immigration system.

What This Means for H-1B Visa Holders

The announcement has triggered immediate concern among the massive workforce of H-1B visa holders—a program where nearly three-quarters of approvals go to professionals from India. While the news is unsettling, it is crucial to understand the legal scope of the current suspension:

Existing H-1B visas are not automatically revoked or impacted by this announcement.
The suspension specifically targets the filing of new PERM labor certification applications.
The impact on individual employees will vary significantly depending on which stage of the immigration process their application currently occupies.
Affected companies must now reassess their recruitment and retention strategies for skilled foreign talent.

Industry Implications and Future Outlook

The broader business impact is expected to be significant. For IT services giants that rely heavily on deploying staff for American clients, the inability to offer long-term residency pathways makes the US a less attractive destination for top-tier international talent. Industry analysts suggest that firms may need to pivot toward increased local recruitment in the US or restructure their staffing models to comply with the heightened scrutiny from Washington.

This process has taken so long and now a complete abrupt stop is going to be very stressful and detrimental to these families. It's going to be a lot of hardship on these families.
— Immigration Policy Expert

Key Takeaways

Microsoft, Adobe, and major IT service firms have been suspended from the PERM green card program.
The administration cites allegations of fraud and abuse of employment-based immigration programs.
The move prevents the filing of new green card applications but does not immediately invalidate current H-1B visas.
IT firms may be forced to change hiring strategies, potentially favoring more local US-based recruitment.
Foreign workers currently in the immigration pipeline face significant uncertainty regarding their future residency status.

FAQ

Are my existing H-1B visa and job affected?

The current suspension targets the PERM green card application process. It does not automatically invalidate your current H-1B status or your ability to continue working in your current role.

Why did the US government suspend these specific companies?

The administration stated that the suspension is a result of alleged fraud and abuse within the PERM labor certification program, aiming to ensure that companies prioritize hiring American workers for high-skilled roles.

Can I still apply for a green card if my company is suspended?

If your employer is on the suspended list, they are currently blocked from filing new PERM labor certifications. You should consult with your company's HR department or an immigration attorney regarding how this specifically impacts your individual filing status.

Will this impact future H-1B applications?

While the PERM suspension is a distinct administrative action, it is part of a broader trend of increased scrutiny on foreign worker programs. Policy changes continue to evolve, so staying updated on federal guidelines is essential.