NEW DELHI: The ministry of external affairs (MEA) on Friday said the US government’s decision to suspend several technology companies from the employment-based green card programme would not, by itself, affect existing H-1B visas or the status of visa holders and their dependents.The ministry said the suspension of applications under the Permanent Labour Certification (PERM) programme could, however, affect the permanent residency process for eligible employees of the companies concerned.“We are aware of the US Department of Labour’s decision concerning the Permanent Labour Certification (PERM) programme for certain companies. It should be noted that PERM is distinct from the H-1B visa programme,” the MEA said in a statement.“The suspension of PERM applications does not, by itself, affect the validity of existing H-1B visas or the status of H-1B visa holders and their dependents, though there could be some impact on the permanent-residency/Green Card process of eligible employees of the affected companies,” it added.The ministry also emphasised the economic benefits of skilled talent moving between India and the US, saying the latest measures did not advance the shared ambitions of the two countries.“It should also be clear that talent mobility adds value to both economies. While it creates opportunities for Indians, it equally helps US companies with cutting-edge talent, innovation, research, productivity, competitiveness and job creation, besides creating shareholder wealth in the US,” the MEA said.“This is therefore an area of tremendous mutual benefit for the two countries and our expectation is that all stakeholders in this process can appreciate this fact. The steps announced by the US do not advance the shared ambitions of both countries,” it added.
Which companies have been suspended?
The US department of labour has suspended Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies and Capgemini from the PERM programme. The department said it would not accept new applications from the affected companies or process their pending applications amid multiple active federal investigations.US labour secretary Keith Sonderling said the companies had collectively sought millions of foreign workers and received hundreds of thousands of approvals under employment-based immigration programmes.“Since 2009, just these companies alone have requested almost 3 million foreign workers. They received over 230,000 H-1B visa approvals and over 100,000 permanent labour certifications. That’s hundreds of thousands of jobs that were taken from American workers,” Sonderling said.The administration has alleged that companies misused employment-based immigration programmes to replace American workers with foreign employees. These are allegations made by US officials; the announcement cited ongoing investigations.
What is PERM, and how is it different from H-1B?
PERM is a labour-certification process that allows an eligible US employer to sponsor a foreign worker for employment-based permanent residency, commonly known as a green card. Before certifying an application, the US department of labour must establish that there are not enough qualified and available American workers for the job and that employing the foreign worker would not adversely affect the wages and working conditions of similarly employed US workers.
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The H-1B programme, by contrast, allows US employers to hire skilled foreign workers temporarily for specialised occupations. The PERM suspension does not automatically cancel existing H-1B visas, but it could disrupt a route to permanent residency for employees whose employers are sponsoring them through the programme.The move comes amid a wider crackdown by the Trump administration on skilled foreign labour. A day before the announcement, the US department of homeland security proposed new fees for F-1 international students seeking to participate in Optional Practical Training (OPT), describing the measure as an effort to protect American workers and strengthen the integrity of the immigration system.
