US green-card suspension poses little risk to Indian IT, analysts say
XLK•Analysts said the US suspension of the Permanent Labor Certification programme is unlikely to cause near-term fallout for Indian IT firms, which accounted for less than 2% of PERM applications filed from October 2024 to September 2025. India’s IT index rose about 3.5%, led by TCS after upbeat second-quarter results.
1. Limited near-term exposure
Indian IT firms are unlikely to face near-term fallout from the US suspension of the Permanent Labor Certification programme, analysts said. ICICI Securities said the move could weigh on sentiment and raise longer-term talent-retention concerns, while Indian IT firms accounted for less than 2% of PERM applications filed between October 2024 and September 2025.
2. Hiring and sector pressure
Nasscom said IT firms have reduced their dependence on H-1B visas and expanded local hiring in the US, and that relatively few workers move from H-1B visas to permanent residency through PERM. TCS said it did not expect the suspension to affect its workforce strategy or client engagements, citing single-digit PERM applications over the past two years. Bajaj Broking’s Sumit Singhania said companies could face higher hiring and compliance costs as they rely more on US talent and subcontracting.
