Bengaluru (Karnataka) [India], October 9 (ANI): The US government's suspension of major technology companies from the Green Card sponsorship programme could prompt employees awaiting permanent residency to move to firms that can still sponsor their applications, brand expert Harish Bijoor, Founder of Harish Bijoor Consults Inc. said, highlighting the potential for talent movement across the technology industry.

"This is a big change and a big move," Bijoor told ANI, referring to the US Labour Department's suspension of companies, including Infosys, Tata Consultancy Services (TCS), Wipro and HCL Technologies, from the Permanent Labour Certification (PERM) programme.

Bijoor said the measure appeared to be a suspension rather than a complete cancellation of the route, leaving uncertainty over when it could be restored.

"It looks to be a suspension," he said, adding that "one never knows when this is going to be reinstated."

He said the move could affect employees already in the queue for permanent residency and lead some to consider changing employers.

"If you don't have the patience, I mean, you know, expect a whole lot of people to want to move out of these eight companies and jump into those companies where the green card is still a possibility," Bijoor said.

The US Labour Department suspended several major technology and outsourcing companies amid federal investigations into alleged misuse of the system. US technology companies Microsoft and Adobe were also suspended, while nine universities faced probes over allegations of undercutting American wages.

US Labour Secretary Keith Sonderling said the companies had collectively sought millions of foreign workers and received hundreds of thousands of H-1B visa approvals and permanent labour certifications.

The administration further added that the action is aimed at addressing concerns over foreign hiring and protecting American workers.

Reacting on the update, TCS said it would comply with any directive from the US Department of Labour and that its US workforce strategy was anchored in local hiring. The company said its PERM applications had been in single digits over the previous two years and that it did not expect the suspension to affect its workforce strategy or customer engagements.

Further, the National Association of Software and Service Companies (Nasscom) said the decision affected a specific immigration pathway and should not be conflated with the broader issue of skilled talent mobility.

It added that Indian technology companies had reduced their dependence on H-1B visas over the years while expanding local hiring and building a domestic workforce in the US.

Former HCL Technologies CEO Vineet Nayar said the suspension could affect employees awaiting permanent residency and prompt some to move to companies that can still sponsor their applications.

He also argued that restrictions on the movement of Indian professionals could have the unintended consequence of encouraging American companies to shift more technology work to India, including in artificial intelligence, product engineering and cybersecurity. (ANI)