US Immigration Enforcement Widens: PERM Suspensions, H-1B Probes and a Warning for Employers
Updated: 2 hours ago
WASHINGTON, October 13, 2026 — A quiet escalation in US immigration enforcement is now touching some of the country's largest employers. Over the past week, the Trump administration has suspended several organizations from the PERM labour certification program and opened investigations into their use of H-1B and J-1 visas.
The message to corporate America is blunt: these programs remain legal, but the government is now watching how you use them.
What Actually Happened
The Department of Labor notified affected organizations that their PERM applications — both those already filed and any future submissions — are on hold. PERM is the first step in most employment-based green card processes, so a suspension effectively freezes an employer's ability to sponsor workers for permanent residence.
The action follows an investigation announced this summer by the DOL's Inspector General. Last week's moves suggest that inquiry has widened.
Separately, nine universities are under investigation over their use of the J-1 exchange visitor program. Officials allege foreign researchers were used to undercut the pay of American graduate students and researchers. Subpoenas have been served, and the Inspector General has raised concerns about undisclosed foreign financial ties.
The Legal Backdrop
Employers may be surprised to learn that DOL can suspend PERM participation before finding any wrongdoing.
According to current regulations, the agency is empowered to probe suspected fraud or misrepresentation. During this investigation, it can suspend an organization from the program for an initial 180 days — and prolong this duration until the investigation or any associated court case is resolved.
In practice, a suspension could stretch for a year or more.
This is not a penalty. It is a pause. But for employers with pending green card sponsorships, the practical effect is nearly the same.
Who Should Be Paying Attention
Not every company faces the same exposure. Certain profiles attract more scrutiny:
Companies that have executed or are considering staff reductions
Companies with unusually high volumes of immigration filings
Organizations placing sponsored workers at offsite client locations
State and federal government contractors
Firms fitting any of these descriptions should review their sponsorship practices with immigration counsel before filing anything new. Even lower-risk employers should audit their internal controls.
There is a further consideration: companies with vendor relationships to organizations under investigation may themselves be asked to provide information.
If the Government Comes Knocking
Any communication from an investigating authority — a subpoena, a document request, a legal-hold notice, or a notice of suspended processing — should go straight to the company's general counsel and outside immigration counsel.
Two rules matter here.
Do not respond independently. Employees should not begin drafting or gathering a response before counsel has reviewed the request. Well-intentioned attempts to cooperate can create avoidable legal risk.
Preserve everything relevant. Paper and electronic records that might bear on the investigation should be retained, and routine deletion or destruction suspended.
What Remains Unclear
The government has released few specifics about the allegations against the named organizations. The scope of the investigations could expand. Additional targets may emerge. The factual basis for the suspensions has not been publicly detailed.
That uncertainty cuts both ways. It means employers should not assume the worst from the announcements alone — but it also means the situation is genuinely fluid.
What is clear is the direction of travel. The administration is signalling that immigration filings will be examined for accuracy on recruitment, pay, and work arrangements. Employers that can document their compliance will be better positioned than those that cannot.
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Quick Reference Summary
Item | Detail |
Programs Affected | PERM, H-1B, J-1 |
Suspension Authority | DOL may suspend PERM participation pre-finding |
Initial Suspension Period | Up to 180 days, extendable |
Universities Under J-1 Probe | Nine |
Risk Indicators | Layoffs, high filing volume, offsite placements, government contracts |
Program Legality | Unchanged — participation remains lawful |
Immediate Steps | Contact counsel; preserve records; do not respond independently |
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