The Ministry of External Affairs (MEA) on Friday said the US suspension of Permanent Labour Certification (PERM) applications for several technology companies would not, by itself, affect the validity of existing H-1B visas or the status of visa holders and their dependents, though it could affect the Green Card process for eligible employees.
In a statement, the MEA said PERM was distinct from the H-1B visa programme and clarified that the suspension concerned the permanent-residency process.
“We are aware of the US Department of Labour’s decision concerning the Permanent Labour Certification (PERM) programme for certain companies. It should be noted that PERM is distinct from the H-1B visa programme. The suspension of PERM applications does not, by itself, affect the validity of existing H-1B visas or the status of H-1B visa holders and their dependents, though there could be some impact on the permanent-residency/Green Card process of eligible employees of the affected companies,” the ministry said.
The MEA also stressed the mutual economic benefits of talent mobility between India and the US, saying the steps announced by Washington did not advance the two countries’ shared ambitions.
“Talent mobility adds value to both economies. While it creates opportunities for Indians, it equally helps US companies with cutting-edge talent, innovation, research, productivity, competitiveness and job creation, besides creating shareholder wealth in the US,” the ministry said.
The MEA added that it expected all stakeholders to recognise the mutual benefits of the movement of skilled professionals between the two countries.
The ministry also criticised US Vice President JD Vance’s description of H-1B workers as “indentured servants”, saying the term carried offensive historical and colonial connotations.
“We believe that such descriptions are unwarranted and ignore the fact that Indian professionals in the United States are highly educated and skilled contributors to its economy and innovation ecosystem,” the MEA said.
It added that generations of immigrants had contributed to the growth and prosperity of the US through their labour, enterprise and innovation, calling terminology that carried painful historical and colonial associations “deeply offensive”.
Vance made the remarks on Thursday while addressing a news conference on visa fraud. He alleged that H-1B workers were being brought into the US at lower wages than American workers, allowing companies to cut costs and replace domestic employees.
“If you are working as an H-1B visa in the United States of America, you’re earning $20,000 less than an American citizen hired in the same position. If you were brought in by one of these foreign outsourcing firms, you’re making $48,000 less than an American citizen in a similar position,” Vance said.
He alleged that companies were bringing in foreign workers, laying off American employees and undercutting domestic wages.
The MEA’s response followed an announcement by US Labour Secretary Keith Sonderling that the US government was suspending several major technology and IT outsourcing companies from the PERM programme. The companies named included Cognizant, Infosys, Tata, Wipro, HCL and Capgemini. US technology companies Microsoft and Adobe were also suspended from the programme.
The US Department of Labour attributed the action to multiple active federal investigations. 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.
“Since 2009, just these companies alone have requested almost 3 million foreign workers. They received over 230,000 H-1B visa approvals and over 100,000 permanent labour certifications,” Sonderling said, claiming these approvals represented jobs taken from American workers.
The announcement came a day after the US Department of Homeland Security proposed new fees for F-1 non-immigrant students seeking to participate in Optional Practical Training (OPT). The department described the proposed measure as an effort to protect American workers and strengthen the integrity of the immigration system.
(With inputs from ANI)
