US Suspends Infosys, Capgemini, and Microsoft From Green Card Sponsorship Program
The US government has suspended several major technology and IT outsourcing companies from the Permanent Labour Certification (PERM) Program. The suspensions, announced by US Labour Secretary Keith Sonderling, impact prominent firms including Infosys Limited (NSE:INFY), Capgemini SE (EURONEXT:CAP), Microsoft Corporation (MSFT), and Adobe Inc. (ADBE). The Labour Department cited multiple active federal investigations as the reason for the suspensions. The PERM program serves as the initial step for eligible foreign workers to obtain employment-based green cards in the United States.
The move has sparked sharp political debate over the economic impact of legal immigration. Critics, including California Governor Gavin Newsom and Democratic Congresswoman Pramila Jayapal, argue that restricting these pathways weakens America's ability to innovate and hurts the overall economy. Conversely, US Vice President JD Vance defended the suspensions, alleging that corporations use foreign visa programs to secure cheap labor and undercut American wages. Vance stated that workers on H-1B visas are paid significantly less than US citizens in equivalent roles.
Investors and tech companies will need to monitor the progress of the active federal investigations to see how long these suspensions will remain in place. Additionally, the US Department of Homeland Security has proposed new fees for F-1 non-immigrant students participating in Optional Practical Training. The implementation of these fees and the ongoing regulatory scrutiny could reshape the recruitment pipelines for global tech talent in the United States.
Key points
- The US Labour Department suspended major tech and outsourcing firms from the Permanent Labour Certification (PERM) Program.
- Suspended companies include Infosys Limited, Capgemini SE, Microsoft, and Adobe, due to active federal investigations.
- The PERM program serves as the initial step for foreign workers to obtain employment-based US green cards.
- Political figures are divided, with critics warning of reduced innovation and supporters arguing the move protects American wages.
- The US Department of Homeland Security has also proposed new fees for international students in the Optional Practical Training program.
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How we writeDisclaimerQuestions and answers
Why did the US government suspend technology companies from the PERM program?
The US Labour Department suspended the companies due to multiple active federal investigations.
Which major companies have been suspended from the Permanent Labour Certification Program?
Suspended firms include outsourcing providers like Infosys, Capgemini, Tata, Wipro, HCL, and Cognizant, as well as US tech giants Microsoft and Adobe.
What is the purpose of the Permanent Labour Certification Program?
The program is the first step toward securing an employment-based green card for eligible foreign workers in the United States.