India’s IT industry body Nasscom said on Thursday that relatively few employees transition from H-1B visas to permanent residency through the Permanent Labor Certification (PERM) process. It added that Indian technology companies would continue to comply with applicable US laws and regulations.
Nasscom issued the statement after the US administration suspended six major outsourcing companies, including India’s Infosys, Tata Consultancy Services (TCS), Wipro and HCL, from the permanent labour certification programme. The action also covered Cognizant and Capgemini.
The industry body said the decision affects a specific immigration pathway. However, it reiterated that immigration and skilled talent mobility represent two distinct issues and require separate consideration.
“The H-1B visa programme has historically played an important role in addressing short-term skill gaps in the US, and it will continue to help meet short-term talent needs. However, over the past few years, Indian technology companies have significantly reduced their dependence on H-1B visas while steadily expanding local hiring and building a strong domestic workforce in the US,” Nasscom said.
The industry body added that Indian IT companies work with most Fortune 500 companies in the US, helping them innovate, expand and create more local jobs.
“Consequently, the number of employees transitioning from H-1B visas to permanent residency through the PERM process is also relatively limited. Indian technology companies operate across more than 80 countries and have consistently demonstrated their commitment to complying with local laws and regulatory requirements. We are confident that they will continue to adhere to applicable regulations in the US as well,” Nasscom said.
US Labour Secretary Keith Sonderling announced the suspension of the six outsourcing companies following investigations by the Department of Labor’s Inspector General.
The action prevents the companies from submitting new permanent labour certification applications and halts the processing of their pending applications.