Why the US Cut Microsoft, Adobe From Green Card Sponsorship
The U.S. Labor Department suspended nine tech companies, including Microsoft and Adobe, from the PERM labor certification program, citing alleged fraud and misuse. The suspension impacts green card sponsorships for foreign workers, with the department claiming the companies replaced American workers with cheaper foreign hires, though evidence has not been publicly disclosed.
How this was made

The 30-second read
Why it matters
Regulatory action directly curtails the ability of these firms to sponsor foreign workers for permanent residency, potentially slowing project execution and increasing hiring costs.
Market read
First‑report regulatory suspension affecting multiple large‑cap tech and consulting firms, likely to trigger short‑term stock pressure.
What to watch
Long‑term talent‑supply strategies and possible legal challenges to the suspension.
Background
The U.S. Department of Labor announced a suspension of PERM green‑card sponsorship for nine major tech and consulting firms, citing alleged fraud in the program.
Ticker impact
US Labor Department suspended Microsoft from the PERM green‑card sponsorship program.
likely downward pressure as investors price in hiring restrictions
Regulatory suspension directly affects workforce planning and may delay projects.
US Labor Department suspended Adobe from the PERM green‑card sponsorship program.
likely downside as market reacts to hiring limitations
Adobe relies on skilled engineers; suspension could affect execution.
US Labor Department suspended Cognizant from the PERM green‑card sponsorship program.
downward pressure as investors assess hiring risk
Cognizant's large offshore workforce makes the suspension material.
US Labor Department suspended Infosys from the PERM green‑card sponsorship program.
likely decline pending clarification on hiring alternatives
Infosys' U.S. delivery model depends on skilled engineers.
US Labor Department suspended Wipro from the PERM green‑card sponsorship program.
likely downside as investors factor hiring constraints
Wipro's U.S. delivery centers rely on foreign talent.
Market effects
Tech and consulting hiring pipelines face heightened regulatory risk.
U.S. equities may see short‑term pressure on affected firms.
Potential ripple to offshore staffing markets and related ADRs.
Counterpoint
Impact may be limited if companies shift to alternative visa categories or increase domestic hiring.
Key entities
- RegulatorU.S. Department of Labor
Issued the suspension of PERM applications for the listed companies.
- CompanyMicrosoft
One of the firms suspended from PERM sponsorship.


