IBM has confirmed it is discontinuing visa and green card sponsorship for most roles within IBM Consulting, the company's largest business division. An IBM spokesperson told Newsweek the company has opted to halt both H-1B visa sponsorship and the PERM green card process for the majority of such roles, pointing to years of declining participation in high-skilled visa programs.
The announcement came Tuesday and places IBM Consulting employees on foreign visa status, along with those awaiting green cards through their employer, in a position of uncertainty about their continued ability to work in the United States. Affected workers were reportedly told they could continue working for IBM outside the U.S. or leave the company by the end of the year, though IBM has not publicly detailed what happens to employees already holding H-1B status who can no longer pursue a green card through the company.
What IBM Confirmed
IBM's statement, delivered through a company spokesperson, frames the decision as a response to shifting business needs rather than a specific government directive. The spokesperson said IBM Consulting has used high-skilled visa programs to fill skill shortages, but that reliance on those programs has been fading for years as the company's hiring needs changed.
The decision applies specifically to IBM Consulting, not IBM as a whole, and affects a majority of roles within that division rather than all positions. IBM has not detailed which specific roles, teams, or locations within Consulting remain eligible for sponsorship under the new approach.
What Happens to Workers
According to Bloomberg reporting relayed by Newsweek, affected employees were given two options: continue working for IBM outside the United States, or leave the company by the end of the year. That framing suggests international transfer is being offered as an alternative to departure, though the scope of that option — which countries, which roles — has not been detailed publicly.
Newsweek stated it asked IBM directly what would happen to employees who currently hold H-1B status but would no longer be eligible to pursue a green card through the company. That question had not been answered as of publication, leaving a significant gap in understanding how the policy affects workers mid-process.
Understanding PERM and the Green Card Pathway
PERM, short for Program Electronic Review Management and also known as labor certification, is the first formal step in the most common employer-sponsored green card category. Before a company can file a green card petition for a foreign worker, it must demonstrate through PERM that no qualified American worker is available to fill the role, typically by advertising the position in specified ways.
Only after PERM is certified can an employer move forward with the subsequent stages of the green card process. IBM's decision to discontinue sponsorship for most Consulting roles effectively removes that pathway for affected employees, separate from whatever happens to their current H-1B status.
H-1B Basics
The H-1B visa allows U.S. employers to hire foreign workers in specialty occupations, typically for an initial three-year period with the option to extend for another three years. At the end of that six-year window, an employer must decide whether to pursue a green card on the worker's behalf or allow the visa status to lapse.
IBM is a consistent but comparatively modest H-1B sponsor. Department of Labor data shows the company applied for more than 1,100 H-1B visas in fiscal year 2026, which ended September 30 — a fraction of the volume filed by companies like Amazon, Apple, Meta, and Microsoft.
Scale Compared to Other Tech Employers
Amazon applied for more than 13,715 H-1B visas by the third quarter of fiscal year 2026, roughly eleven times IBM's total, while Apple, Meta, and Microsoft each sought approximately four times as many visas as IBM did in the same period.
The Broader Enforcement Backdrop
IBM's move follows a period of intensified scrutiny of employer-sponsored immigration under the Trump administration. In October, Vice President JD Vance announced that Microsoft and several other major companies would have their access to the PERM program suspended over alleged fraud, framing the action as an effort to ensure American workers are prioritized even as tech firms continue to grow.
Separately, the Department of Justice has reached settlements with Instacart and OpenAI over allegations that the companies abused the PERM system by advertising roles in ways that favored foreign applicants over qualified American workers.
IBM, however, has not been named in any public administration comments on this issue. The company's decision appears to be a unilateral business choice rather than a response to a specific government enforcement action directed at IBM itself.
What Remains Unanswered
Several material questions remain open. It is not yet clear which specific roles or locations within IBM Consulting still qualify for sponsorship, nor how the policy applies to employees whose PERM, I-140, or I-485 cases are already in process. It is also unconfirmed whether affected H-1B holders will have an opportunity to transfer to another U.S. employer before their status is affected.
Newsweek noted it had contacted the Department of Labor and the Department of Homeland Security for comment the morning the story published, with no response reflected in the verified record.
Clinch Law Legal Analysis
Sources
This article provides general information and does not constitute legal advice. Immigration outcomes depend on individual facts and current law.
IBM has told Newsweek it is discontinuing visa and green card sponsorship for the majority of roles within IBM Consulting, its largest business unit. According to the reporting, affected workers were told they could continue working for IBM outside the United States or leave the company at the end of the year. For employees currently on H-1B status inside IBM Consulting, this raises immediate practical questions about job security, timing of any transfer to another employer, and whether to pursue outside sponsorship before a work authorization gap arises. Nothing in the verified reporting describes a formal effective date beyond the 'end of the year' reference attributed to Bloomberg, so individuals should not assume a specific cutoff without direct confirmation from IBM.
The legal basis for IBM's decision is a private corporate staffing choice, not a government rule, order, or regulation; the Newsweek article quotes an IBM spokesperson citing declining participation in high-skilled visa programs as skill availability and client need have evolved. The reporting situates this decision alongside separate government action against other companies' PERM access, but it does not establish that IBM itself has been targeted by any agency action, investigation, or suspension. Key gaps remain: the record does not establish which roles or locations are affected, what happens to pending PERM, I-140, or I-485 cases already filed, or whether impacted H-1B holders have a path to transfer to a new employer before status lapses. Readers should await IBM's direct communications and verified agency guidance rather than relying on secondary reports for case-specific decisions.
Questions Clients Are Asking#
Did IBM actually end H-1B and green card sponsorship company-wide?
No. The verified reporting states IBM is discontinuing visa and green card sponsorship for the majority of such roles specifically within IBM Consulting, its largest business division, not the entire company. An IBM spokesperson is quoted saying participation in high-skilled visa programs had been declining for years and that skill availability and client need have evolved.
What happens to IBM Consulting employees currently on H-1B status?
The article reports that affected workers were told they could continue working for IBM outside the U.S. or leave the company at the end of the year, according to Bloomberg. Newsweek states it asked IBM for clarification on what happens to workers on existing H-1Bs who would not be able to apply for a green card now, and that clarification was not available in the verified record.
Is this related to a government investigation or suspension of IBM from PERM?
The verified reporting distinguishes IBM's situation from other companies. It notes that Microsoft and Adobe were suspended from the green card program over fraud concerns, and that the Trump administration suspended PERM access for several other major companies, but states explicitly that IBM has not been the focus of any public comments by the Trump administration on this issue so far.
How many H-1B workers at IBM could be affected?
The article cites Department of Labor data showing IBM applied for over 1,100 H-1B visas in Fiscal Year 2026, which ended September 30, but states it was not immediately clear how many of those visa holders had moved toward permanent residence. The reporting also notes IBM applies for relatively few visas compared to companies like Amazon, Apple, Meta, and Microsoft.
What is PERM and why does it matter here?
PERM, or Program Electronic Review Management, also called Labor Certification, is described in the verified reporting as the first step of the most common green card category employers use to sponsor a worker for permanent residence. It requires the employer to show no American-born workers are able to fill the role, typically through required advertising, before the employer can proceed to file for the green card.