# US enforcement of PERM and changes to work authorization > Live situation record from CLSTR: https://clstr.news/situations/us-enforcement-of-perm-labor-certification-program > Updated: 2026-10-22T00:59:21.000Z. Sources: 178. Developments: 6. The United States government has initiated a crackdown on the permanent labor certification (PERM) program, targeting major technology firms as part of a broader investigation into visa fraud and labor market abuses. In September 2026, the Department of Labor suspended PERM filings for Cognizant and Cloudera. Labor Department Inspector General Anthony D’Esposito announced the enforcement, stating that “threats to American workers will NOT be tolerated.” By October 2026, the administration expanded enforcement to include Microsoft, Adobe, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies, and Capgemini. Effective October 8, 2026, the Department of Labor will no longer accept new or process pending PERM applications for these eight companies, effectively freezing the pathway to employment-based green cards. While this does not prevent companies from hiring through H-1B visas, it complicates the transition from H-1B status to permanent residency. Vice President JD Vance accused Microsoft of replacing domestic workers with foreign labor, alleging that “for every worker that Microsoft laid off, they replaced that worker with one and a half foreign indentured servants.” In mid-October 2026, the Department of Homeland Security (DHS) introduced further regulatory shifts, including eliminating automatic extensions for certain Employment Authorization Document (EAD) renewal applicants and proposing to end deference to prior approvals for H-1B and L-1 extensions. Industry data reflects the impact of these policies. A Congressional Research Service report indicated a 100% decline in H-1B registrations for Cognizant for fiscal 2027, while Infosys and TCS reduced entries by 91% and 95%, respectively. Regarding the PERM freeze, TCS reported its filings dropped to two in 2025-26 from 513 the previous year. Industry group Nasscom noted that some firms are shifting toward local recruitment; Wipro reported that over 80% of its US workforce is hired locally. ## Claims - Microsoft stated that 80 percent of its H-1B filings last fiscal year were for extensions or status changes rather than new hires. (disputed by 10 sources) - Microsoft stated that 99 percent of its new hires last year were U.S. citizens. (disputed by 2 sources) - Microsoft has abused the H-1B visa system more than any other U.S. company. (corroborated by 32 sources) - Microsoft laid off 6,000 American workers last year while utilizing 6,300 H-1B visas and nearly 3,000 green cards. (corroborated by 30 sources) - The administration suspended Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies, and Capgemini from the PERM program. (corroborated by 29 sources) - The Department of Labor will not accept new or process pending PERM applications for the suspended companies. (corroborated by 18 sources) - The administration opened investigations into nine major universities regarding visa usage. (corroborated by 15 sources) ## Timeline ### 2026-10-22: US suspends eight tech firms from Permanent Labor Certification Program The US has suspended eight tech companies, including Microsoft and several Indian IT firms, from the PERM program, freezing permanent residency applications for skilled foreign workers. 6 sources. https://clstr.news/cluster/us-suspends-perm-visa-access-for-major-tech-companies ### 2026-10-20: Major IT firms slash H-1B visa registrations in the US Major IT firms Infosys, TCS, and Cognizant have drastically reduced H-1B visa registrations for fiscal 2027 following tighter US immigration rules. 4 sources. https://clstr.news/cluster/major-it-firms-slash-h-1b-visa-registrations-in-the-us ### 2026-10-13: DHS implements new immigration rules for H-1B and work permits DHS is ending automatic work permit extensions and proposing to scrap deference for H-1B visa renewals, while also suspending PERM green card applications for eight major tech firms. 11 sources. https://clstr.news/cluster/us-suspends-perm-green-card-applications-for-eight-major-tech-firms ### 2026-10-10: U.S. suspends Green Card processing for eight major tech firms The U.S. government has suspended PERM Green Card processing for eight major tech firms, including Microsoft and Infosys, amid investigations into visa law abuses and allegations of replacing U.S. workers. 33 sources. https://clstr.news/cluster/us-suspends-perm-program-participation-for-microsoft-tcs-and-other-tech-firms ### 2026-10-08: US suspends PERM green card program for Microsoft, Adobe, and major IT firms The US Department of Labor has suspended the PERM green card program for Microsoft, Adobe, and several major IT firms, including TCS and Infosys, amid investigations into alleged visa program abuses. 145 sources. https://clstr.news/cluster/microsoft-suspended-from-us-green-card-program-for-h-1b-workers ### 2026-09-08: Cognizant PERM filings suspended amid U.S. visa fraud probe The U.S. Department of Labor has suspended Cognizant’s permanent labor certification (PERM) filings amid a federal investigation into alleged visa fraud and employment-based immigration abuses. 9 sources. https://clstr.news/cluster/cognizant-perm-filings-suspended-amid-us-fraud-investigation --- Cite as: US enforcement of PERM and changes to work authorization. CLSTR, https://clstr.news/situations/us-enforcement-of-perm-labor-certification-program