If you’re an Indian professional in the US hoping for an employer-sponsored green card, 2026 has brought a lot of change to the first step of that journey: PERM labour certification. Here’s what has happened, what hasn’t happened yet, and what you should do now.
First, a quick refresher: what is PERM?
PERM requires employers to show that no qualified American workers are available for a role before a foreign worker can proceed to an employment-based green card. Once the Labor Department approves it, the employer files Form I-140 with USCIS, and the worker later applies for the green card itself. In short, if PERM stalls, your whole green card timeline stalls.
1. Eight major employers suspended from PERM (effective now)
This is the biggest and most immediate change. The Labor Department suspended Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL, and Capgemini from PERM on October 8, 2026.
- What it does: Labour Secretary Keith Sonderling said the Department would not accept new or process pending permanent labour-certification applications involving the affected companies.
- Why: The administration cited alleged fraud and concerns about the impact of foreign-worker programmes on American workers. Microsoft and Adobe were suspended due to multiple active federal investigations.
- How long: There is no end date, and Vance said the suspensions would remain in place for as long as necessary.
- What it does NOT do: H-1B petitions, approvals and extensions at those same employers are left alone, as are green cards and I-140 approvals already issued, and PERM filings by every other employer in the country.
Impact for NRIs: The suspension does not cancel existing H-1B visas, but Indian professionals relying on their employers for green card sponsorship could face delays and may have to stay on temporary visas for longer. Timing matters too — your priority date, your place in the green card line, usually comes from the day the PERM was filed.
Worth noting: the practical scale for the Indian IT firms may be smaller than headlines suggest. TCS said its PERM applications were in single digits over the past two years and that it does not expect the suspension to affect its workforce strategy.
2. A full PERM overhaul is on the way (proposed, not yet in force)
The Department of Labor plans to modernise the PERM process, marking the first major overhaul of the program in more than two decades. The rule is titled “Modernizing the Labor Market Test and Improving Protections for U.S. Workers in the PERM Immigrant Visa Program” (RIN 1205-AC29).
What it’s expected to change:
- Revised minimum standards for recruiting qualified U.S. workers in the PERM labour market test, reflecting the widespread shift to digital recruitment.
- Additional protections for US workers who have recently lost their jobs, with layoffs factored into the labour certification review.
Where it stands: On September 14, 2026, the DOL submitted the proposed rule to the White House’s Office of Information and Regulatory Affairs for review. It has not yet been published in the Federal Register, its text is not public, and no public comment period has started. The rule would not take effect until DOL reviews public feedback and publishes a final regulation with a specific implementation date.
3. Higher wage floors for PERM and H-1B (proposed)
Separately, on March 26, 2026, the DOL issued a proposal to substantially revise how prevailing wages are calculated under the H-1B, H-1B1, E-3 and PERM programs. It would raise the four wage tiers from roughly the 17th–67th percentile of BLS wage data to roughly the 34th–88th percentile — with entry-level salary requirements potentially increasing by more than 30 percent.
Status: The comment period closed in late May 2026, and DOL must now review comments before issuing a final rule. Good news for those already in process: existing permanent labour certifications, approved LCAs and previously approved PERM prevailing wage determinations would not be affected. However, as written, the final rule would apply to all currently pending and future prevailing wage determinations.
4. Processing remains slow
DOL shows PERM analyst review averaging 336 days for August 2026 determinations, with analyst review on cases filed in December 2025. Plan for roughly a year at the PERM stage alone.
What NRIs should do now
- Check if your employer is on the suspended list. If yes, speak to your employer’s immigration counsel about the status of your case and your H-1B timeline, since a PERM freeze can affect H-1B deadlines, a spouse’s work permit, and your place in the green card line all at once.
- Explore PERM-free routes if you qualify — such as EB-1 or the EB-2 National Interest Waiver. These still use a priority date, so the monthly Visa Bulletin still decides when a green card becomes available.
- If your PWD is pending, ask about timing. The wage rule could change the number your employer must offer.
- Don’t panic over the overhaul yet. For now, employers should continue following the existing PERM rules.
- Watch for the Federal Register publication of the PERM modernisation rule — that’s when the actual details (and a chance to comment) arrive.
This post is for general information only and is not legal advice. Immigration rules are changing quickly — consult a qualified US immigration attorney about your specific case.
Additional reading:
- Boundless – DOL plans major PERM update
- Fragomen – DOL to Propose PERM Program Changes
- Alma – PERM modernization rule OIRA review
- Badmus & Associates – DOL Advances Major PERM Overhaul
- Deccan Chronicle – US Halts Green-Card Processing for Infosys, TCS, Cognizant
- Entrepreneur India – US Suspends Green Card Sponsorship for 8 Tech Firms
- KORE1 – PERM Suspension: What It Means for Employers
- Ellis – PERM suspension: Microsoft, Adobe
- Duane Morris – DOL Proposes Increases to Prevailing Wage Levels
- Biz Legal Services – H-1B wage protections proposed
- Womble Bond Dickinson – 2026 Unified Agenda
- Waylit – PERM Processing Times 2026