Eight tech firms paused from processing green card paperwork

The U.S. Department of Labor has suspended the processing of PERM labor certification applications for eight major technology and IT service companies. The move, announced in October, halts the standard first step in the employer-sponsored green card process for these firms. Employees at the affected companies now face delays in their immigration cases, while the broader tech industry has tightened its hiring practices.

The department paused both new applications and pending cases for Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies, and Capgemini. Officials stated that the pause is part of an ongoing investigation into alleged abuses of the work visa system, including fraud and the suppression of local wages to replace U.S. workers. The suspension does not constitute a final determination that the companies have broken the law.

Lina Zhao, a Bay Area tech worker, said her employer has also internally stopped processing PERM filings. She noted that the company is now hiring more selectively, preferring candidates with established work experience over recent graduates. This shift makes it harder for new entrants to the field to secure positions that offer visa support.

For foreign employees already on the path to permanent residency, the pause creates immediate uncertainty. Zhao said some colleagues have avoided traveling home for family visits due to fears that re-entry inspections could complicate their status. The department clarified that existing H-1B work visas remain valid for these employees, but the delay in PERM processing stalls progress toward the I-140 petition and final green card approval.

Other employers not named in the October announcement continue to submit PERM applications under normal procedures. The department’s action specifically targets the eight firms under review. The investigation focuses on how these companies recruit and retain international talent, with further details on the findings expected as the review continues.