Congress accuses Modi of inaction after US bars Indian IT firms from green‑card program

India’s opposition party criticised Prime Minister Narendra Modi for not responding to a U.S. decision that halted eight Indian and multinational IT companies from the Permanent Labour Certification (PERM) process. The U.S. Department of Labor said the firms had misused the program, which is a key step for employment‑based green‑card applications. Congress leader Jairam Ramesh urged India to consider retaliation under the Digital Personal Data Protection Act, 2023. The suspension could affect future green‑card filings for Indian IT professionals.

The suspension may delay or block green‑card applications for Indian workers employed by the affected firms, potentially reducing the supply of H‑1B talent to U.S. employers. The Indian opposition suggests legal retaliation, which could raise diplomatic tensions and impact cross‑border tech hiring.

  • 1The U.S. announced on October 9, 2026 that eight technology firms were barred from the PERM programme.
  • 2The firms named were Microsoft, Adobe, Cognizant, Infosys, Tata, Wipro, HCL and Capgemini.
  • 3U.S. officials said the companies misused the PERM system at the expense of American workers.
  • 4Congress general secretary Jairam Ramesh said India could retaliate under the Digital Personal Data Protection Act, 2023.
  • 5Vice President JD Vance claimed Microsoft laid off 6,000 American workers in 2025 after filing 3,682 PERM applications.
  • 6Indian professionals make up over 70 % of all approved H‑1B petitions each year.

Sources