US Delivers Major Blow to India’s IT Sector; Several Leading Tech Companies Suspended from Green Card Sponsorship Program
WASHINGTON: The Donald Trump administration has officially placed a moratorium on the sponsorship program of high-skilled foreign workers that is the source of most of India’s IT outsourcing firms, technology giants, and corporations.
Investigations revealed evidence of alleged fraud, with some companies allegedly dismissing American workers while at the same time applying to become employers of record for foreign workers.Investigations found evidence of alleged fraud such as companies laying off Americans while they simultaneously applied to become employers of record for foreign workers, according to a statement from US Vice President JD Vance and Reuters reports. Underlining the importance of Microsoft, Vance said that it’s a “fantastic American company” but it needs to focus on hiring American people.
The U.S. immigration crackdown and green card suspensions had several key points.Some of the major takeaways from the U.S. immigration crackdown and green card suspensions were:
US Labor Minister Keith Sonderling said the suspension of the processing of permanent labor certification applications (PERM) would impact Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies and Capgemini. Rather, new applications will not be accepted and pending applications have been “frozen”.
University Investigations Launched: The administration has also begun federal investigations of nine elite universities, including Harvard, Yale and Stanford, for allegedly using exchange visitor visa programs to harm domestic workers’ wages, along with the tech sector.
According to administration officials, the moves are intended to “defend American jobs and deal with the fraud alleged in the visa program. The sweeping move could disrupt the typical permanent residency pathway for thousands of skilled technology workers.
Employment-based green cards have a number of steps that must be taken before they can be granted to a foreign national, one of the most important being the Department of Labor’s Permanent Labor Certification Program (PERM).