Economy

US Green Card Suspension: How H-1B Visa Holders at Microsoft, TCS and Wipro Could Be Affected

Published On Fri, 09 Oct 2026
Aditi Iyer
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The US suspension of employment-based green card processing involving major technology companies, including Microsoft, Tata Consultancy Services (TCS) and Wipro, has raised concerns among Indian professionals seeking permanent residency in the United States. The move could disrupt immigration plans for foreign employees who depend on company sponsorship to obtain a green card and settle permanently in the country.

The development is particularly significant for Indian technology workers, many of whom enter the US on H-1B visas to work in specialised fields such as software development, cloud computing, cybersecurity and data engineering. While an H-1B visa allows eligible foreign professionals to work temporarily in the country, obtaining a green card provides a pathway to permanent residency. Any interruption to the sponsorship process could therefore create uncertainty for workers planning their long-term careers and family lives in America.

Microsoft has attracted particular attention following criticism from US officials over its workforce reductions and employment of foreign workers. The administration has said its action is aimed at protecting American employees and addressing concerns about the use of employment-based immigration programmes. Major Indian IT services companies, including TCS and Wipro, have also been named among the affected employers, alongside Infosys, HCLTech, Cognizant, Adobe and Capgemini, according to reports.

At the centre of the issue is the Permanent Labor Certification programme, commonly known as PERM. It is an important stage in the employment-based green card process for many foreign professionals. Employers generally need to obtain labour certification from the US Department of Labor before proceeding with the relevant immigrant petition. Restrictions on this process could prevent affected companies from initiating certain applications or create uncertainty over cases already underway.

For H-1B employees who have not yet begun their green card applications, the suspension could mean a longer wait before their employers can start the sponsorship process. Workers whose applications are already pending will need to determine whether their cases are covered by the restrictions and whether processing can continue. The outcome may vary depending on the application stage and the government's instructions to the affected companies.

One of the biggest concerns involves Indian professionals approaching the usual six-year limit on H-1B status. US immigration law allows certain qualifying workers to obtain extensions beyond the standard period when specific requirements connected to employment-based permanent residency proceedings are met. Delays in the green card process could complicate planning for some employees, although the suspension itself does not automatically cancel their H-1B visas or require them to leave the United States.

The restrictions could also influence decisions about changing employers. An H-1B transfer and a green card application are separate immigration processes, meaning a worker may be eligible to change jobs without necessarily being able to continue the same permanent residency process immediately. Employees considering a move to another company will need to assess their immigration status and sponsorship options before making decisions.

The development raises questions about employee retention, international staffing and the management of US client projects. Technology companies often combine local hiring with the deployment of specialised workers from other countries. Uncertainty over permanent residency could make long-term workforce planning more difficult, particularly for employees whose experience is important to ongoing client engagements.

The immediate financial impact on Indian IT companies may be limited, however. Reuters reported on October 9 that TCS expected no immediate impact on its growth from the suspension. Nevertheless, the implications for individual employees could be more significant, particularly for those who have spent years working in the US and are counting on employer-sponsored green cards to establish permanent residence.

Affected workers should contact their employers' immigration teams to understand how the restrictions apply to their cases. Those approaching the end of their authorised H-1B stay should also seek advice from a qualified US immigration attorney about potential extensions and other available options. Employees should not assume that existing visas have been revoked or that every pending green card application has automatically been cancelled.

The duration of the suspension, the treatment of pending applications and any additional guidance from US authorities will determine the longer-term consequences. Until those details become clearer, Indian professionals working at Microsoft, TCS, Wipro and other affected companies may face greater uncertainty over their permanent residency plans, even if their immediate employment and visa status remain unchanged.

Disclaimer: This image is taken from Hindustan Times.