US Government Takes Action Against Major IT Firms Over Green Card Program Abuse

In a significant move, the US government has suspended eight major IT companies, including Tata, Infosys, and Wipro, from the green card application program. This decision, announced by top officials, is aimed at addressing concerns that these firms have been sidelining American workers in favor of foreign employees. The Vice President and Labor Secretary highlighted the misuse of the program, with allegations of companies like Microsoft laying off American workers while simultaneously applying for foreign labor certifications. This action raises questions about the impact of foreign worker programs on the US job market.
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gyanhigyan

Significant Suspension of IT Companies


Washington: On Thursday, the United States government announced the suspension of eight IT companies, including prominent Indian firms like Tata, Infosys, and Wipro, from a program that facilitates green card applications for foreign employees. This decision was made amid concerns that these practices have marginalized American workers in the job market. The announcement was delivered by Vice President JD Vance, Labor Secretary Keith Sonderling, and Attorney General Todd Blanche, as part of an initiative led by the US Anti-Fraud Task Force.


Secretary Sonderling stated, "I am suspending some of the largest IT outsourcing companies globally — Cognizant, Infosys, Tata, Wipro, HCL, and Capgemini — from the Permanent Labor Certification Program." He further noted that Microsoft and Adobe are also being suspended due to ongoing federal investigations. Vance criticized Microsoft for laying off 6,000 American employees in 2025 while simultaneously certifying the need for foreign workers, stating that the company had received approval for over 6,000 H-1B visas and filed nearly 3,700 PERM applications for the same roles as those of the laid-off workers.


Sonderling highlighted that since 2009, these companies have requested nearly three million foreign workers, resulting in over 230,000 H-1B visa approvals and more than 100,000 permanent labor certifications. He emphasized that this has led to hundreds of thousands of jobs being lost for American citizens. The Vice President referred to foreign workers on H-1B visas as "foreign indentured servants" and labeled the companies utilizing this program as "visa mills."