Trump administration’s PERM suspension: Can H-1B workers stay in the US if green card filings are blocked?

The Trump administration’s decision to suspend Microsoft, Cognizant and some othercompanies from the US employment-based green card labour certification programme could delay permanent residency plans for Indian professionals working at these firms.

The move does not automatically cancel existing H-1B visas, but itcould complicate matters for workers approaching the six-year limit on their temporary work status.

Also Read: Cognizant, Infosys, Tata, Wipro, HCL among 8 IT firms suspended from US green card programme


The suspension affects the Permanent Labour Certification (PERM) process, a key step in the standard employer-sponsored green card route. The US Department of Labor has reportedly also halted the processing of pending applications involving the affected employers. The precise treatment of applications at different stages, including those already approved, remains unclear.

The companies named in the announcement are Cognizant, Infosys, Tata, Wipro, HCL, Capgemini, Microsoft and Adobe. The key reason behind this decision is the Trump administration’s belief that foreign workers hired by these companies were resulting in fewer jobs for American workers.

Can H-1B workers remain in the US if PERM filings are blocked?

Yes. H-1B workers can continue to remain and work in the US if they have valid H-1B status and meet the applicable immigration requirements. A suspension of an employer’s PERM filings does not, by itself, cancel an employee’s H-1B visa or require them to leave the country.

Also Read: PERM suspension could trap tech workers in a green card visa cycle

However, employees who need to extend their H-1B status beyond the usual six-year limit could face a greater risk. US immigration rules allow certain H-1B workers pursuing employment-based permanent residency to qualify for extensions beyond six years, subject to specific conditions.

If an employer cannot initiate the PERM process, a worker may find it harder to meet the requirements for an extension that depends on timely progress towards permanent residency. The consequences will depend on the employee’s circumstances, the stage of the green card application and the extension provisions for which they may qualify.

How will Indian professionals be affected?

Indian professionals employed by affected companies could face delays in their green card applications. The impact will depend on the stage of the employee’s employer-sponsored green card process.

1. Employees who have not started PERM

Workers whose employers have not yet filed a PERM application could face immediate delay. If their employer is unable to submit a new application during the suspension, they may have to wait before starting the standard employer-sponsored green card process.

They would also be unable to establish a priority date through a new PERM filing during this period. A priority date is used to determine an applicant’s place in the queue for an employment-based green card.

2. Employees with pending PERM applications

Workers whose applications are already pending could face delays if the DOL continues to halt processing for the affected employers. This could leave employees waiting longer for a decision and delay subsequent steps in their permanent residency applications.

The authorities have not fully clarified how individual pending cases will be handled.

3. Employees whose PERM applications have been approved

Employees with approved labour certifications may be in a different position from those whose applications are still pending or have not been filed.

But further details on this are awaited, as the authorities have still not clarified whether existing approvals or subsequent immigrant petitions will be affected by the suspension.

4. Employees approaching the H-1B six-year limit

Workers in these categories could face a more immediate concern because their ability to remain in the US may depend on qualifying for an extension.

Certain H-1B holders can extend their status beyond six years under provisions linked to their employment-based green card process. If the suspension prevents an employer from starting PERM on time, an employee may face difficulties qualifying for some extensions.

The effect will depend on the worker’s eligibility, the timing of the application and whether other extension provisions apply.