TCS Downplays US Green Card Suspension Citing Single-Digit PERM Filings — October 9, 2026

Tata Consultancy Services Ltd (TCS), India’s largest software services exporter, said on Friday that the suspension of the US Permanent Labor Certification (PERM) programme by the United States government will not affect its workforce strategy or customer engagements. The company noted that its reliance on the employment-based green card route has been negligible in recent years, with applications standing only in single digits.

The clarification followed an order announced by US Labor Secretary Keith Sonderling, alongside US Vice President JD Vance, indefinitely suspending eight global technology majors and outsourcers from the PERM process amid ongoing federal investigations.

Limited Operational Exposure

In a regulatory filing with the National Stock Exchange (NSE) and BSE, TCS affirmed its compliance with federal guidelines while emphasizing its transition toward domestic American talent.

“We have noted the announcement by the US Government on the Permanent Labour Certification Program (PERM) and TCS will comply with any directive from the Department of Labour,” the IT bellwether stated. “Our workforce strategy in the US is anchored in hiring local talent, supported by a robust campus recruitment model. We have built a significant local workforce across 31 offices and delivery centres throughout the country.”

The company pointed out that its PERM filings have dropped sharply:

• Applications under the PERM channel have remained in the single digits over the last two years.
• The company reaffirmed an earlier plan to hire an additional 15,000 local personnel in the United States over the next five years to strengthen delivery capabilities.
• Existing customer delivery and execution remain insulated due to established onshore delivery centers.

Crackdown on Major Tech Employers

The suspension stops the US Department of Labor from accepting fresh PERM applications or processing pending filings from the affected corporations. The targeted list includes:

• Tata Consultancy Services
• Infosys Ltd
• Wipro Ltd
• HCL Technologies Ltd
• Cognizant Technology Solutions
• Capgemini SE
• Microsoft Corp
• Adobe Inc

The US Department of Labor stated that since 2009, these eight entities have collectively secured more than 230,000 H-1B visa approvals and over 100,000 permanent labour certifications. US officials claimed the enforcement action is aimed at safeguarding domestic jobs.

What the PERM Ban Means for Indian IT

The PERM process is the initial mandatory certification through which a US employer proves to the Department of Labor that there are insufficient qualified American workers available for a given post before sponsoring an overseas employee for an employment-based green card.

Crucially, the PERM suspension does not revoke active H-1B work visas, nor does it immediately alter the legal status of workers currently on non-immigrant visas. However, it creates procedural roadblocks for Indian tech employees on temporary visas seeking long-term permanent residency through company-sponsored petitions.

For Indian market participants, the commentary from TCS provides reassurance against near-term disruption to revenues or onsite client delivery models. Indian IT companies have spent the past several years aggressively localising their onshore workforces and diversifying delivery hubs across the Americas and Europe, reducing their systemic dependence on US visa sponsorship programmes.

Tags: Tata Consultancy Services Indian IT Sector US Department of Labor BSE NSE Infosys