In brief
In October 2026, the Trump administration announced a suspension of the PERM labour‑certification process for eight major technology firms, including Microsoft and India’s biggest consultants. The move throttles the green‑card route that many Indian engineers rely on after securing H‑1B visas. While firms claim the impact on business will be limited, the restriction leaves thousands of workers in limbo and fuels anti‑Asian hostility online. Alternatives such as exceptional‑talent or investment visas are scarce, and the backlog of Indian applicants is projected to extend for decades.
The US PERM Freeze: A Turning Point for Indian Tech Talent
When the Trump administration announced it would suspend the Permanent Labor Certification (PERM) pathway for eight technology giants in October 2026, millions of Indian engineers heard a new warning bell. The programme had been a staple of the career ladder that started with an engineering degree, moved through a US posting via an H‑1B visa, and culminated with a green card through PERM.
PERM requires an employer to certify that a U.S. worker is not available for the role before a foreign employee can be approved for permanent residency. It has been the backbone of the H‑1B system, giving India the largest share of US tech visa holders. With the freeze, new and pending PERM applications are halted, effectively breaking the pipeline that many Indian professionals have relied on for years.
Industry responses have been varied. Infosys, Wipro, Tata Consultancy Services and Microsoft have all announced that they have reduced their dependence on H‑1B workers, bringing in a majority of their US staff from local talent pools. According to data from Indonesia’s Technology Association (NASSCOM), Indian firms have already shifted towards in‑country hiring, placing the number of PERM transitions at a low single‑digit percentage.
For workers, the policy’s consequence is deeply personal. “A significant number of us are stuck between a place where we’ve spent years and a future that remains uncertain; we cannot simply return to India because our children grew up here,” one H‑1B holder shared. The decision has also fueled an uptick in online hostility against South Asian immigrants, with non‑profit groups documenting rising hate messages since early 2024.
Alternative routes to permanent residency are limited. Exceptional talent and investment categories exist, but the barriers are steep—requiring high‑level achievements or investments of at least $800,000. With nearly one million Indians queued for employment‑based green cards as of December 2025 and projected waits ranging from five to 179 years, the situation is unlikely to improve quickly.
The ripple effect may prompt a reshuffling of work sited globally. Companies that practiced offshoring and remote work during the pandemic are reassessing the cost–benefit equation. While some expect a shift back to domestic hiring, others see an opportunity to relocate high‑skill projects back to India, leveraging lower labour costs and increasing acceptance of remote collaboration.
Looking ahead, the path for Indian tech talent in the United States remains precarious. The spell on PERM highlights the fragility of policy‑dependent pipelines and underscores the need for a balanced approach that protects both national business interests and the aspirations of global professionals. In an era where artificial intelligence and quantum computing are reshaping the industry, the narrative of the Indian engineer’s American dream is poised for significant change.
