The US-India Strategic Partnership Forum (USISPF) has supported the US administration’s action against the alleged misuse of the Permanent Labour Certification (PERM) programme. However, it has stressed the significant economic contribution of H-1B workers and other legal immigrants.

The statement follows the US Department of Labour’s suspension of new and pending PERM applications involving major technology and outsourcing companies, including Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies and Capgemini.

PERM is a key step in the US employment-based green card process. Employers must generally demonstrate that hiring a foreign worker will not adversely affect the wages and working conditions of similarly employed US workers. They must also test the domestic labour market before sponsoring a foreign worker for permanent residency.

The suspension has raised concerns among foreign workers whose green card applications are linked to the affected companies. It does not automatically cancel existing H-1B visas but could delay permanent residency applications. Workers nearing the maximum H-1B visa period could also face difficulties if they depend on the green card process to secure further extensions.

USISPF said it supported efforts to prevent fraud and abuse in legal immigration programmes while highlighting their economic benefits.

“The Green Card and H-1B programs are among the United States’ most significant economic policy success stories, strengthening America’s economic growth, innovation, and global competitiveness,” USISPF said.

Citing an analysis of 2022 US Census Bureau data, the forum said these immigration pathways had generated $2.1 trillion in combined household income. They also contributed $382.9 billion in federal taxes and $196.3 billion in state and local taxes, leaving $1.6 trillion in spending power.

“While supporting efforts to eliminate waste, fraud, and abuse, we must also recognise the tremendous economic benefits that legal immigration brings to the United States,” the organisation said.

USISPF highlighted the contribution of Indian Americans, who account for 1.5% of the US population but contribute 6% to the country’s GDP. It also said Indian Americans co-founded 72 of the 648 unicorns in the US in 2024.

“Generations of Indian Americans have come to this country through legal immigration pathways, worked hard, pursued education, built businesses, and become successful, tax-paying members of American society,” USISPF said.

The forum also cited a White House ceremony where President Donald Trump presented the National Medals of Science and the National Medals of Technology and Innovation to six innovators. Five recipients were born outside the US, highlighting the role of immigrant talent in American innovation and technological leadership.

“We share the administration’s goal of helping the United States succeed as a global technology leader by attracting the best global technology talent while sustaining a strong domestic job market,” the organisation said.