Regulation
U.S. suspends Microsoft green-card labor certification in visa crackdown
The Labor Department broadened its immigration compliance review, placing Microsoft and other tech contractors under new limits
The U.S. Labor Department has suspended PERM labor certification processing for Microsoft and several other technology and outsourcing firms. PERM is the first step employers use to sponsor foreign workers for employment-based green cards, so the move can interrupt ongoing immigration pipelines.
The action comes amid a tougher Trump administration push to scrutinize how companies use H-1B and other employment-based visa channels. Earlier reporting also identified Cognizant, Infosys, Capgemini, Tata, Wipro and HCL among the firms affected, with allegations centered on fraud or discrimination against American workers.
For Microsoft, the decision could complicate retention planning for foreign-born technical staff and add another layer of compliance risk to hiring. Adobe and the outsourcing firms named in reports face a similar issue: uncertainty over labor certification timelines and the continuity of their talent pipelines.
For investors, the immediate focus is less on direct financial exposure than on the potential impact to workforce planning in the U.S. tech sector. Any further enforcement details would likely determine how broad the operational disruption becomes.
Sources:cnbc.combloomberg.com
