US targets Microsoft, Adobe in new visa crackdown

The Trump administration has suspended Microsoft, Adobe, and several other companies, including Indian IT firms such as Cognizant, Infosys, Tata, Wipro, HCL Technologies, and Capgemini, from the US worker visa programme. This action was taken due to allegations of abuse of the programme, which has been a crucial talent source for Silicon Valley and Wall Street.

US Vice President Kamala Harris and Labor Secretary Xavier Becerra announced the suspensions, stating that the move targets companies contributing to the exploitation of the system. Microsoft, the third most-valuable company, was singled out by Harris for allegedly abusing the programme more than any other. The suspensions come after multiple federal investigations into the use of a system that allows US employers to sponsor foreign workers for permanent residency.

The administration aims to curb the use of the Permanent Labor Certification Programme, which enables companies to sponsor foreign workers to become legal permanent residents. Tech giants, particularly those based in India or with significant operations there, are often referred to as outsourcers for their role in offering contract IT work to other businesses.