IBM has announced it will cease sponsoring work visas and green cards across most roles within IBM Consulting, the company's largest business unit. This division encompasses over 150,000 employees and represents more than half of IBM's total workforce. The shift reflects tightening immigration policies under the Trump administration's approach to skilled-worker visas in the United States.

Bloomberg initially disclosed the policy change, referencing an internal memo distributed to management this week. The document indicates that impacted staff members have two options: they may continue their employment with IBM from locations outside the US, or they may leave the organization by the conclusion of the year. IBM has publicly acknowledged the decision.

IBM Consulting participates in US high-skilled visa programs to address skill shortages. However, the company's participation "has been declining for a number of years" and it had "opted to discontinue visa and green card sponsorship for the majority of such roles".

IBM spokesperson

The company's reliance on the H-1B programme has already been declining. During the fiscal year ending September 30, IBM secured 1,611 H-1B approvals, down from 2,045 in the preceding year, according to figures from US Citizenship and Immigration Services.

Mounting Pressure on Foreign Worker Sponsorship

IBM's move comes amid intensifying scrutiny of employers sponsoring international talent. In June, a federal court invalidated the Trump administration's proposed $100,000 surcharge on new H-1B applications, determining it constituted an improper tax. The administration subsequently introduced a revised fee structure of $103,265 through the formal rulemaking process.

October brought additional regulatory action when the Labour Department suspended Microsoft, Adobe and six other firms from PERM, the programme enabling employers to sponsor workers for permanent residency status. The suspensions occurred while the department investigates potential fraud allegations.

Microsoft president Brad Smith cautioned that such restrictions pose a significant threat to the competitiveness of the US technology sector, potentially causing damage lasting more than a generation.

Strategic Shift Rather Than Wrongdoing

IBM faces no accusations of impropriety. Rather, the company's decision appears driven by evolving financial and regulatory circumstances surrounding foreign worker recruitment. Given that Consulting's business model depends on deploying personnel to execute client projects, staffing expenditures directly influence profit margins.

The option to allow affected workers to remain employed by IBM from outside the United States hints that certain positions may be transferred internationally rather than eliminated entirely.

IBM has maintained a substantial connection to the H-1B programme since Congress established it in 1990. Consulting firms have historically ranked among the programme's heaviest users, making this sector particularly vulnerable to shifts in immigration policy.

For decades, sponsoring international workers represented standard practice within American technology hiring. IBM's decision to abandon this approach for the vast majority of positions in its principal division underscores how dramatically industry calculations are shifting.

Source: The Next Web