Economy & Policy

IBM Ends Visa Sponsorship, and Tech Workers Rethink Their US Futures

IBM is ending visa sponsorship for most consulting roles. Tech visa holders tell Business Insider they're delaying purchases and questioning their US futures.

By Amara Osei

3 min read

Visa holders are delaying purchases and tuning out the news amid immigration uncertainty
Visa holders are delaying purchases and tuning out the news amid immigration uncertaintySyced / Wikimedia Commons · CC BY-SA 4.0

What's News

  • IBM is ending visa and green card sponsorship for most consulting division roles, citing skill availability and client needs.
  • In October, the Trump administration suspended Microsoft, Adobe, and six IT services firms from the PERM green card program.
  • The administration sought a $100,000 fee on new H-1B visas; federal courts blocked it.
  • H-1B holders who lose their jobs have 60 days to find a sponsoring employer.

IBM is ending visa and green card sponsorship for most roles in its consulting division, a move the company attributed to evolving skill availability and client needs — and a decision that has rattled foreign tech workers across the industry, several told Business Insider.

Ashok Kumar, an H-1B holder and tech lead at a large corporation, knows the clock that comes with a lost job. When he was laid off in 2019, he had 60 days to find a new employer willing to sponsor him. He succeeded. But he told Business Insider he worries his next job search could be even harder if more companies follow IBM's lead.

Kumar is one of several tech visa holders who said immigration policy uncertainty and job security concerns are now shaping their career decisions and long-term plans. Some fear they won't be able to stay in the US or land new jobs; others are staying focused on the opportunities still in front of them.

What else has raised the stakes?

IBM's decision didn't land in a vacuum. In October, the Trump administration suspended Microsoft, Adobe, and six major IT services companies from the Permanent Labor Certification program — a key step in the employment-based green card process. The suspension blocks those companies from submitting new PERM applications or advancing pending ones.

The administration said the move targets companies it believes misused the program to favor foreign workers over American workers. Microsoft has disputed the allegations. Separately, the administration has sought to impose a $100,000 fee on new H-1B visas, though federal courts have blocked the measure.

Kumar's employer wasn't among the suspended companies, but the news deepened his concerns about the future of immigration sponsorship. Friends he discussed it with felt the same. "Everyone was worried about their future," he said.

How are workers responding?

One Microsoft employee is preparing for her final attempt at the H-1B lottery, and she's already anxious about what comes after. She initially ignored Instagram reels friends sent her about the PERM suspension. When she finally watched one, she was shocked to learn Microsoft was affected. Even a lottery win might not clear her path, she said, because the suspension could create another obstacle to a green card.

"You can do everything right, build a career at a company like Microsoft, and still not feel secure about your future here," she said.

For some, the uncertainty reaches beyond careers. A tech worker on an F-1 STEM OPT visa said he's delayed buying a car because he doesn't know how long he can stay in the US. He's also weighing a move to Canada or the UK. "My friends are indeed panicking and getting restless," he said.

Is everyone equally worried?

No. Some foreign tech workers noted the PERM suspension currently touches only a handful of companies. One Big Tech visa holder said he isn't too concerned because he has no long-term US immigration plans. Others have simply stopped reading.

"It's exhausting to follow everything so I'm staying away from all of it," one tech visa holder said.

Aman Goyal, a product manager on an H-1B who came to the US in 2023, considered looking abroad after being laid off last year but landed a new role in the Seattle area. Visa challenges remain a concern for his long-term future, he said, but they haven't outweighed the opportunities he sees.

"I'm definitely interested in continuing to be here, meeting and building my network as much as possible, as well as learning about the next phases of AI as much as possible," Goyal said.

With IBM pulling back on sponsorship, courts still weighing the $100,000 H-1B fee, and PERM suspended at eight major employers, foreign tech workers' decisions about jobs, purchases, and where to live are likely to keep shifting with each new policy move.

Source: feeds.businessinsider.com

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Amara Osei

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Senior reporter covering companies, deals and strategy in entrepreneurship, startups and venture funding at Business Bearings.

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