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Business
US PERM Suspension Likely to Spare Indian IT Firms, Kotak Says
✍️ Asianet Newsable
🗓 12 Oct 2026, 05:17 PM
👁 24
The suspension of the US PERM labor certification process is expected to have limited impact on Indian IT companies, according to a Kotak Mahindra Bank report.
The U.S. Department of Labor has temporarily suspended the PERM labor certification program, a key step in the H‑1B visa process for hiring foreign talent.
Indian IT firms, which have historically relied on PERM‑approved H‑1B workers to fill technical roles, were initially concerned about potential disruptions.
A recent report from Kotak Mahindra Bank suggests that the impact on the sector will be modest. The bank notes that many firms already maintain substantial in‑country talent pools and can pivot to alternative visa categories.
While some companies may experience minor delays in hiring, the overall effect on the industry’s workforce strategy is expected to be limited.
Indian IT firms, which have historically relied on PERM‑approved H‑1B workers to fill technical roles, were initially concerned about potential disruptions.
A recent report from Kotak Mahindra Bank suggests that the impact on the sector will be modest. The bank notes that many firms already maintain substantial in‑country talent pools and can pivot to alternative visa categories.
While some companies may experience minor delays in hiring, the overall effect on the industry’s workforce strategy is expected to be limited.