US Suspends Cognizant, Infosys, and Other IT Giants From Green Card Program

The United States government has suspended several major global information technology outsourcing firms and tech giants from its Permanent Labour Certification Programme. The suspension halts the processing of all new and pending permanent labor certification applications for affected companies, which is the primary pathway for H-1B visa holders to obtain permanent residency, or green cards. Among the suspended companies are Cognizant Technology Solutions Corporation Class A (NASDAQ:CTSH), Infosys Limited (NSE:INFY), Wipro, HCL, Capgemini, Microsoft, Adobe, and Tata Chemicals Limited (NSE:TATACHEM).

The decision was announced on Thursday by US Labour Secretary Keith Sonderling, alongside Vice President JD Vance, who leads the US Anti-Fraud Task Force. Government officials stated that the suspended firms have collectively requested nearly three million foreign workers since 2009, receiving over 230,000 H-1B visa approvals and more than 100,000 permanent labor certifications. Officials noted that the move is intended to protect jobs for American workers.

Investors will be closely watching how these restrictions impact the talent acquisition and operating costs of the affected IT service providers. The immediate market reaction was mixed, with Cognizant shares falling 0.45% to 56.81 USD and Tata Chemicals down 2.76% to 593 INR, while Infosys shares ticked up 0.50% to 997 INR. The long-term implications on the pipeline of skilled international workers for these tech giants remain a critical point of concern for the industry.