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The US administration has suspended access to the Permanent Labour Certification (PERM) programme for eight major IT companies, including Indian giants Tata Consultancy Services, Infosys, Wipro, and HCLTech, alongside US firms Microsoft, Adobe, Cognizant, and France's Capgemini. The move halts fresh filings and freezes pending applications for employment-based permanent residency, delaying Green Card pathways for foreign workers. US Vice President JD Vance stated the companies are under scrutiny over alleged visa fraud and replacing American personnel with foreign labour, calling on Congress to reform the H-1B visa framework. Responding to the suspension, TCS stated that the move would not impact its workforce strategy or client engagements, noting that its PERM applications had already been in single digits over the past two years. While existing approved PERM applications and valid H-1B visas remain unaffected, affected IT firms may evaluate alternative routes like L-1 intra-company transfers or increase hiring of American workers.

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00:00It's a U.S. crackdown on eight of the major firms, IT firms, that is, over the Visa Rao.
00:07Going back to it, it's TCS, the IT giant that's come out to respond to this entirety of the matter.
00:12Earlier we were taking it through the Microsoft response that's come in the statement.
00:16Now TCS has to say that this particular crackdown does not affect us
00:20because the perm suspension will not affect our workforce,
00:24neither will it impact on client engagements
00:27because perm applications, our perm applications, were in the first place to begin with in single digits.
00:33The U.S. perm suspension will not affect the workforce strategy.
00:36There's a statement that's now coming from the Indian tech giant, IT tech giant, that is, TCS,
00:42saying the U.S. suspension of the perm, that is, the entire permanent employee residency program,
00:48the labor certification program for the green card,
00:51will have no impact on its workforce strategy or client engagements
00:55as its perm applications were already in single digits over not just this year,
01:00but the past two years at this point.
01:03So which is why they have to say that their client engagements will not be affected.
01:08So somewhere we see all of these tech companies have now come out to start saying
01:13that their perm applications had already started lowering,
01:17they didn't have as many applications in the first place and that they had begun going back to the programs
01:25wherein we have American employees being prioritized first by the Trump government itself.
01:31So at this given point, there's a lot of conversation around the entirety.
01:35There are these tech companies now starting to respond to the entire situation
01:39and they seem to be putting up at least a statement or a front of not being too bothered
01:46or not being too affected and impacted by this entire move.
01:50But what is this move indeed that we are speaking of?
01:53Let's take you a little more into the details and context of it.
01:56It's a major setback for the Indian IT companies in the United States.
02:00The Trump administration has suspended the access of several major IT firms to the perm program,
02:04which is a key step in the employment-based green card process.
02:08The companies named include, there are eight major companies.
02:11Out of them include four Indian IT companies, Infosys, Tata, Wipro, HCL Tech,
02:17French firm Capgemini, as well as the U.S. tech giants Microsoft, Adobe and Cognizant.
02:22U.S. Vice President J.D. Vance has said that the companies are under scrutiny over alleged visa fraud,
02:28accusing them of replacing American workers with foreign labor.
02:31Vance has also said the administration wants American workers prioritized,
02:34calling on Congress to reform the H-1B visa system.
02:38U.S. firm program is the labor certification process through which employers generally sponsor foreign workers for permanent U.S.
02:46residency.
02:46Now, the suspension means affected companies cannot make fresh firm filings while the action remains in place,
02:53potentially delaying the green card pathways for thousands of foreign professionals, including Indians,
02:57and it also freezes the pending applications at this point of time.
03:03So, it's a two-way crackdown almost of sorts that we see.
03:07Let's take a look at the reactions first before we proceed with the discussion.
03:11Thanks to an ongoing investigation, we have decided to suspend the PERM program for Microsoft,
03:17which means they will no longer be able to apply, they'll no longer be able to take those H-1Bs
03:23and apply for permanent resident status within the United States of America.
03:28And so, our message to Microsoft is, you're a great American company, but you've got to hire great American workers.
03:34You cannot lay off American workers and then replace them with foreign indentured servants.
03:39The suspension of PERM is going to last as long as it needs to.
03:41We have a number of tools to suspend it indefinitely, but we actually want these companies to change their behavior,
03:47improve their behavior, and actually get better.
03:50That's the goal here.
03:50We're not just punishing them to punish them.
03:52We're punishing them because we want them to change their behavior.
03:54The H-1B visa program is meant to allow companies to bring in really the best of the best from
04:00outside the United States of America
04:02for positions that are completely impossible to fill with American workers.
04:06Unfortunately, the program has become rife with fraud.
04:11Rohit Sharma joining us on the broadcast with more details now.
04:15Rohit, with the current restrictions in place, what are the options available, you would say, for all the Indian workers
04:22at this point?
04:25Well, you talk about what other options one has to obtain a green card.
04:31There are pretty limited options.
04:32Only five categories where you can get a green card in the U.S.
04:38Either you can come to America on asylum, seek asylum.
04:42You can come to family, the family categories, and then the empowerment categories.
04:48American immigration system is very complicated.
04:51So for these people who are working in America on work visas, it seems like they have to explore some
05:00of their options if they want to pursue getting a green card.
05:04And again, it's a long process.
05:06I mean, there's a lot of line.
05:08There's a lot of queue.
05:09There's a lot of restrictions on all these things.
05:12So one would say, you know, it's going to be tough.
05:15And I don't think not everybody would be able to extort that option very readily.
05:26No, you know, from what we know, it's not going to impact people who already have an approved program process.
05:32So it's going to essentially be not applied retro.
05:36I think it's always going to be looking forward.
05:39And that's what at least, you know, what we heard from the press conference.
05:43Now, as I've been saying, you have to look at what directives are issued by Department of Labor because they're
05:49the ones that manage the perm process and USCIS and DHS.
05:54And so we'll have to wait and watch as to how those things are put into practice.
05:59But just understanding, you know, after that announcement and spending time talking to some people, the basic understanding is that
06:06these companies, the Indian companies, the Indian companies that outsource work and also have projects in the U.S.
06:12and Adobe and Microsoft, they will not be able to apply for a perm going forward.
06:20Thank you for putting that into perspective for our viewers at this given point.
06:26And viewers, there are a lot of questions at this point.
06:29There are several doubts that come to one's mind, especially immigrants at this point, as to how will this entire
06:34green card crackdown affect them?
06:36Let's take you a little more into the details of some of these questions and what exactly will the immediate
06:43impacts be like?
06:44Immediate impact on Indians from this entire move, the blockage in employer-sponsored green card process.
06:51It comes to a halt, immediate halt that is.
06:54Will H-1B visas be affected then?
06:57Well, valid H-1B status, not lost still.
07:00May Indian techies to be hit the hardest?
07:03Well, yes, impact is same for every Indian worker at this given point.
07:07The other question that comes in is, can Indian IT companies use other visa routes?
07:12Well, simple answer, they can consider an L-1A visa or intra-company transfer visa.
07:21Now, one of the biggest questions is, what happens to the pending perm applications?
07:27They are likely to face harder scrutiny because they have been completely shut down at this given point of time.
07:33Will Indian IT companies change their US hiring then?
07:36Well, firms could actually sponsor fewer green cards, hire more Americans.
07:40Will Indians then be less willing to settle in the United States?
07:46Well, H-1B workers could be reluctant to settle in the United States at this point of time.
07:53So, this is the entirety of the question that comes to the light.
07:57And as we speak, these are some of the common questions that are coming to the forefront.
08:04What is then, viewers, what is the PAM program that we are speaking of here?
08:08Let's also take you through the details of that.
08:10It's a labor certification program that we are speaking of.
08:16That is in the heart of this entire controversy.
08:19Employer-sponsored route to permanent US residency.
08:21That is how this entirety of the scheme works.
08:24It stands for Program Electronic Review Management.
08:28That's the full form.
08:29Now, what does an employee do here?
08:32An employee files on behalf of the foreign worker, checks whether the US workers are available,
08:37and then protects American wages and jobs opportunities by first checking whether there are qualified Americans for that job.
08:45If not, only then they go ahead and approve this particular process for a certain immigrant employee,
08:52allowing their green card process to proceed.
08:54And that then establishes the worker's place in the green card queue.
08:59It's just a start for the process.
09:01It doesn't ensure that you'll get a green card.
09:03Again, it's different from the temporary H-1B work visa.
09:07So, it lies somewhere, the PAM lies somewhere in between of an H-1B work visa program and a green
09:12card.
09:12It gives you temporary, at this given point, position in the green card queue.
09:18Also, let's take a quick look at how many companies are suspended from US green card program.
09:24Indian companies, that include Infosys, Tata, Wipro, HCL Tech.
09:28American companies, the two giants, Microsoft and Adobe, as well as Cognizant.
09:33And one French company that's come in the helm of affairs here is the Capgemini.
09:37So, these are the eight companies currently that's facing scrutiny.
09:41Under this, there's a full halt on the PAM program.
09:45No new applications and pending applications will not be allowed.

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