U.S. Suspends Processing of PERM Applications from Microsoft, Adobe and Several IT Companies
On October 8, 2026, the U.S. administration announced the suspension of Microsoft, Adobe, Cognizant, Infosys, Tata, Wipro, HCL and Capgemini from the Permanent Labor Certification Program, known as PERM. The Department of Labor is halting the acceptance of new applications and the processing of pending applications involving these companies while federal investigations continue.
How PERM Fits into the Green Card Process
PERM is a labor certification generally required to obtain a green card through an employer. At this stage, the employer must demonstrate that there are not enough qualified and available U.S. workers to fill the position.
The announced suspension specifically concerns labor certification applications involving the listed companies.
What the U.S. Administration Said
Officials accuse the companies of abusing immigration programs at the expense of American workers.
During the press conference, Vice President JD Vance singled out Microsoft. According to Vance, the company laid off 6,000 American workers last year while obtaining 6,300 H-1B visas and nearly 3,000 green cards. Vance cited these figures to support the administration’s decision.
Labor Secretary Keith Sonderling said the department would not accept new or process pending PERM applications involving the companies. Regarding Microsoft and Adobe, he cited multiple ongoing federal investigations.
Microsoft’s Response
Microsoft said the vast majority of its U.S. employees are Americans. According to the company, approximately 80% of its H-1B applications during the previous fiscal year involved extensions or changes of status for existing employees rather than new hires.
What Is Known About the Timeline and Existing Visa Status
No end date for the suspension has been announced. At the time of the announcement, it was also unclear how long processing delays for pending cases would last. The announced decision does not prohibit Microsoft from continuing to employ workers in H-1B status. It concerns the company’s access to the PERM process for sponsoring employees for permanent residence.
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