Business & Finance
Nasscom Distinguishes PERM Freeze from H‑1B Use, Highlights Local Hiring Gains
The National Association of Software and Service Companies (Nasscom) said the U.S. Department of Labor’s temporary suspension of several major technology firms from filing new applications under the Permanent Labour Certification (PERM) programme affects only a specific immigration pathway. Nasscom clarified that immigration and skilled‑talent mobility are distinct issues and should not be conflated.
Nasscom noted that Indian technology companies have steadily reduced their reliance on H‑1B visas, expanded local hiring, and built a strong domestic workforce in the United States. The association added that the number of employees moving from H‑1B visas to permanent residency through the PERM process has been limited.
The industry body also highlighted that Indian IT firms operate in more than 80 countries and consistently comply with local laws and regulatory requirements. It said it is confident that Indian companies will continue to adhere to applicable U.S. regulations.
The U.S. Labour Secretary Keith Sonderling announced the suspension of PERM applications for some of the world’s largest IT outsourcing firms, including Cognizant, Infosys, Tata, Wipro, HCL, and Capgemini, as well as U.S. tech majors Microsoft and Adobe. The Department cited multiple active federal investigations and alleged abuse of the H‑1B programme.
Nasscom reiterated that the H‑1B visa programme remains important for addressing short‑term skill gaps in the U.S., but emphasized its companies’ efforts to innovate, grow, and create local jobs while complying with U.S. law.