2 hrs ago
US Suspends Major Tech Firms From Green-Card Certification Programme
The US government has stopped several technology companies from using a program that helps employers seek green cards for workers.
The companies include Infosys, Wipro, Cognizant, Microsoft and Adobe.
The Labor Department says it will not accept new applications or process pending ones involving these firms.
This is about the permanent-residency process, and it does not cancel workers’ H-1B visas.
Officials say they are concerned that foreign-worker programs may hurt American workers.
Vice President JD Vance accused Microsoft of replacing American workers with foreign workers.
Those are claims made by officials; the articles do not give responses from the companies.
The administration also said it would investigate nine universities over allegations involving international students and wages.
The US Department of Labor suspended Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL, Capgemini, Microsoft and Adobe from its permanent labor certification programme.
Labor Secretary Keith Sonderling said the department would stop accepting new and processing pending certification applications involving the companies.
Sonderling said the firms had requested almost three million foreign workers since 2009, with more than 230,000 H-1B approvals and over 100,000 permanent labor certifications.
Vice President JD Vance accused Microsoft of replacing laid-off American workers with foreign workers; the administration cited alleged fraud and harm to American workers.
The suspension affects permanent-residency processing and does not cancel H-1B visas; Infosys and Wipro ADRs fell around 3% in Thursday trading.
- Who
- The US Department of Labor suspended eight technology companies; Labor Secretary Keith Sonderling announced the decision with Vice President JD Vance.
- What
- The companies were suspended from the Permanent Labor Certification Programme, stopping new and pending applications involving them.
- Where
- The announcement was made at a White House news conference in the United States.
- When
- Thursday; the articles do not provide a calendar date.
- Why
- The administration cited alleged fraud and concerns that foreign-worker programs could undercut American workers.
Administration's claims
Responses not included
Foreign-worker hiring
Administration's claims
Officials said the programs can undercut American workers. Vance alleged Microsoft replaced laid-off workers with foreign workers, and Sonderling said the companies’ hiring represented jobs taken from Americans.
Responses not included
The articles provide no response from the suspended companies or an opposing assessment of the administration’s claims.
University practices
Administration's claims
The administration said nine universities were under investigation over allegations that they used international students to undercut American wages.
Responses not included
The articles do not include responses from the universities or findings resolving the allegations.
Key facts
- Companies suspended
- Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL, Capgemini, Microsoft and Adobe
- Announcing official
- US Labor Secretary Keith Sonderling
- Applications affected
- The Department of Labor said it would not accept new or process pending permanent labor certification applications involving the companies.
- Figures cited by Sonderling
- Almost three million foreign-worker requests since 2009, over 230,000 H-1B approvals and more than 100,000 permanent labor certifications
- H-1B visa status
- The suspension affects permanent-residency processing and does not cancel H-1B visas.
- Market reaction
- Infosys and Wipro ADRs fell around 3% in Thursday trading.
- University investigations
- The administration said nine universities, including Harvard, Yale and Stanford, would be investigated; subpoenas had been served.
Quotes
Keith Sonderling
US Labour Secretary who announced the suspensions.
“I am hereby suspending from the Permanent Labour Certification Programme some of the largest IT outsourcing firms in the world, Cognizant, Infosys, Tata, Wipro, HCL, and Capgemini.”
telegraphindia.com
livemint.com
“If you do the math, for every worker that Microsoft laid off, they replaced that worker with one and a half foreign indentured servants.”
telegraphindia.com
Sources
Related news
US Suspends Major IT Firms From Green Card Sponsorship Programme
US Suspends Major Tech Firms From PERM Green Card Programme
US Suspends PERM Processing for Microsoft, Infosys, Wipro
US Suspends Green Card Filings by Indian IT Firms
US Suspends Cognizant Green Card Filings Amid Visa Probe
US Suspends Labor Certification Program for Microsoft, Indian IT Firms
