Infosys says US PERM suspension to have no material impact; IT stocks in focus

“We welcome the opportunity to work with the Department of Labor and related government agencies to answer any questions they may have. We do not anticipate yesterday’s announcement of such suspension to have a material impact on the organization,” the Bengaluru-headquartered IT services firm in a statement.

In the regulatory filing, Infosys further added that it has invested in building a strong local workforce and technology and innovation hubs in the United States. The company said it remains committed to its employees, clients, and communities across the United States and to complying with all applicable laws and regulations.

In line with this, IT bellwether Tata Consultancy Services (TCS) had also said it sees no impact of the new decision. TCS said it had noted the US government's announcement on the Permanent Labor Certification Program (PERM) and would comply with any directive from the Department of Labor.

The company added that its US workforce strategy focuses on hiring local talent through a robust campus recruitment model, with a significant local workforce across 31 offices and delivery centres in the country.

US suspension details

US Labour Secretary Keith Sonderling last week announced that eight companies, namely Adobe, Microsoft, Infosys, TCS, Wipro, HCL Tech, Cognizant, and Capgemini, are now suspended from the PERM programme.

Latest reports showed that the US President Donald Trump’s administration has suspended these companies from the US government’s Permanent Labour Certification Programme, also known as PERM, which is an important stage for foreign workers looking to get green cards in America.

This comes as part of the wider crackdown where the current US government is looking to target fraud and protect American jobs.

The Trump administration has been pursuing several paths of cracking down on foreign citizens living or working in the United States, and to improve the country’s immigration programme.

US Vice President JD Vance also said that there are no companies in the United States that have “abused” the system more than Microsoft.

How the IT stocks performed last week

For the week ending October 9, 2026, the NIFTY IT index, which is composed of 10 stocks, rose 1%. However, on a year-on-year (YoY) basis, it has tanked 20%.

In the previous week, seven out of 10 IT stocks on the index ended in green, with Persistent Systems (7.5%), Mphasis (4.9%), TCS (3.9%), Coforge (2.3%) and Wipro (2%) being the top contributors.

HCL Technologies (-2.1%), Tech Mahindra (-1.2%) and Infosys (-1.1%) were the only losers.

Infosys share price trends

On Friday, Infosys shares settled at ₹1,023.4 apiece on the National Stock Exchange, rising 2.65%.

From the beginning of the year, Infosys shares have fallen 37%. Over a month’s time, the stock has slipped 1%, while it has fallen 20% in the past six months.

Shares of the company had touched their one-year high of ₹1,728 apiece on February 3, 2026, while their 52-week low of ₹980.40 was hit on September 29, 2026.

Infosys has a total market capitalisation of ₹4.15 lakh crore as of October 9, 2026, according to data on the NSE.