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PERM suspension: India calls JD Vance remark on H-1B workers offensive

10 October 20261 min read
INTERNATIONAL AFFAIRSPERM suspension:India calls JD Vanceremark on H-1Bworkers offensive10 October 2026safalsetu.com

Why in the news

On October 9, 2026, India’s Ministry of External Affairs (MEA) rejected US Vice President JD Vance‘s description of foreign IT workers on H-1B visas as “indentured servants”. The remark accompanied a US decision, announced on October 8, to suspend several IT and technology firms from the PERM green-card process.

Key facts

  • MEA response: India termed the remark unwarranted and deeply offensive, said the wording carries painful colonial-era connotations, and stressed that Indian professionals in the US are highly educated and skilled.
  • Talent mobility: The MEA said mobility of skilled workers benefits both economies and that India is in touch with US authorities on the issue.
  • Vance’s claim: He said H-1B workers earn about $20,000 less than comparable Americans, and outsourcing-firm workers about $48,000 less.
  • Agency: Labor Secretary Keith Sonderling announced the suspensions, citing visa misuse and fraud; Vance said they could last as long as needed.
  • H-1B status: The step targets PERM only; it is not a blanket cancellation of H-1B visas.
  • Indian share: About 70% of H-1B holders are Indian nationals.

Firms suspended: what sources report

SourceReported count
Business TodaySix outsourcing firms: Cognizant, Infosys, TCS, Wipro, HCL, Capgemini
The Hindu (via Legacy IAS)Eight firms, five of them Indian multinationals
ABC News 4, South FirstEight: Microsoft, Adobe and the six outsourcing firms

About PERM

The Permanent Labor Certification Program (PERM) is run by the US Department of Labor. It is usually the first step an employer takes to sponsor a foreign worker for an employment-based green card (permanent residency). H-1B, by contrast, is a temporary work visa.

Exam angle

  • PERM is a Department of Labor process linked to green cards, not to H-1B visas.
  • Indians hold roughly 70% of H-1B visas.
  • Counts of suspended firms differ across reports (six outsourcing firms versus eight in total).

Test yourself

1. The US PERM programme, in the news in October 2026, is mainly linked to which of the following?

PERM is the Labor Department's labour certification step for employment-based green cards.

2. Which US department runs the PERM labour certification programme?

PERM is run by the US Department of Labor; Labor Secretary Keith Sonderling announced the suspensions.

3. Roughly what share of US H-1B visa holders are Indian nationals?

The MEA cited that about 70% of H-1B holders are Indian nationals.

Sources: Business Today, Legacy IAS (The Hindu analysis), ABC News 4, South First