Green Card Freeze: Is US Immigration Uncertainty Forcing Indian IT Firms To Pivot?

The US Department of Labor’s suspension of major IT services and tech firms from the Permanent Labor Certification (PERM) programme has sent shockwaves through India’s tech corridor.

With the primary route to employment-based green cards frozen for an estimated 100,000-plus professionals and their families, Indian IT companies and IT professionals face critical decisions regarding talent deployment, international operations and long-term career planning.

Impact on IT sector

The green card controversy might engender confusion for Indian technology firms that rely on qualified specialists operating in the United States. If workers experience holdups in getting their permanent residency, companies may have a hard time keeping qualified people and anticipating their workforce requirements over time. This could result in businesses solidifying their human resources in India while at the same time hiring people in the US according to their business requirements.

Addressing the structural impact on IT operations, Abhijeet Kate, co-founder and principal consultant at digiCloud Solutions, said, "Uncertainty around US green card policies could push Indian IT companies to rethink how they deploy talent across markets. While the US will remain a critical market, businesses may increasingly rely on India-based delivery centres and distributed teams to manage costs and reduce dependency on employee mobility."

Expressing concern for Indian professionals, Kate said, "For Indian professionals, this could mean greater uncertainty around overseas careers, but also stronger opportunities in India, particularly in technology, engineering and global capability centres."

Talent and career pipelines

In the case of professionals from India, the doubts regarding green card applications might impede preparations towards fruitful careers in the US. Those who depend on employer sponsorship for their residency must watch over their visa status and job security. However, Indian workers should not lose hope, as at the same time as skills development is highly important in summer study programmes in the US.

Reflecting on client deployment models, Lalit Sharma, founder and CEO of Ethane Web Technologies, said, "For Indian IT companies, the bigger concern is not just whether professionals can move to the US, but how dependent their business models are on that mobility. Serving US clients increasingly requires a mix of local presence, domain expertise and cost-efficient delivery from India."

He made it clear that "If immigration uncertainty persists, companies may have to rethink how they deploy talent and build client relationships, rather than simply moving more work offshore."

Sharma also saw it as an opportunity for India.

"For India, the opportunity is to move up the value chain by retaining skilled professionals and building capabilities that clients need, irrespective of where the work is delivered," he said.

Shift in recruitment and hiring

Businesses can contemplate increasing local hiring in the US for positions that need workers to be on-site and increasing their delivery teams in India.

With help from Indian delivery centres and Global Capability Centres (GCCs), companies will be able to carry out technology management, research, analytics and business processes from India.

Nevertheless, the decisions will also depend on labour availability, business costs, customers’ expectations and the nature of work.

What lies ahead

Doubt regarding laws concerning immigration adds to the cost associated with hiring and retaining personnel. Businesses should monitor immigration requirements frequently, develop flexible labour plans and obtain quality legal information for employees affected by policy changes.

For India, this situation might open up chances to attract skilled professionals back to the country, preserve human talent and grow startups and GCCs. Nonetheless, this opportunity depends on India’s ability to create decent jobs, offer appealing salaries and ensure vision and career development.

Published on: Friday, October 09, 2026, 04:43 PM IST