Trump’s immigration ban did not receive positive response from Alphabet Inc (NASDAQ:GOOGL)’s Google CEO Sundar Pichai. He criticized the order by Trump which could affect about 187 Google employees. In an email addressed to his staff on Friday, Pichai said, “We’re upset about the impact of this order and any proposals that could impose restrictions on Googlers and their families, or that could create barriers to bringing great talent to the US.” Keep yourself updated with latest stock alerts.
Many employees come from Iran, Iraq, Libya, Somalia, Sudan, Syria, and Yemen- seven Muslim majority countries that have been banned from immigration for the next 90 days. “It’s painful to see the personal cost of this executive order on our colleagues,” said Pichai in the email. The order is not only restricted to nationals from these countries but also on Syrian refugees. Even though the administration calls it a move to keep the ‘radical Islamic terrorists’ out of the U.S., the human rights activities claim that it is a case of sheer religious bigotry. Investors should use stock alerts in times like this to keep themselves abreast of latest happenings..
Here are 3 ways in which immigration order will affect Google and other.
- The order may grow to cover other countries
The impact of the order by Trump is still small because the number of migrants from these 7 countries is very less. Over 500,000 permanent residents of the US come from Iraq and Iran alone, making up most immigrants from the 7 banned nations. However, this does not mean that the order will not grow to cover other nationalities.
The Secretary of Homeland Security is expected to submit a list of nationalities that could be further prohibited from entry to the United States. Google, Facebook, and others have migrant workers from many nationalities working in the U.S. in their offices. If the ban extends to more countries, these corporations may be in a human resource crisis as their executives may land in trouble, just like the company stocks. Getting regular stock alerts can be a savior in this case.
- Hiring Costs may rise
As much as the old and valuable employees of the companies will be affected, Google will also have a few problems related to hiring in US alone. While the hiring costs may rise, these companies must spend fresh dollars into training the employees and getting everything back in order.
Though 187 is not a big number for a corporate like Alphabet Inc (NASDAQ:GOOGL), if the ban grows out to other nations, especially to the South Asian and Asian countries, the corporate could be in trouble because they hire a significant number of employees from this region. It would be wise to check the stock alerts in the future to find the fate of the companies.
Further extensions to the order may mean issues for the companies at the stock market. These blue-chip stocks may land in troubled water. Getting regular stock alerts can help in keeping your investment safe.
- Fate of U.S. companies in other nations
Iran has responded strongly to the ban claiming that it would stop US citizens from entering their country. The foreign ministry of Iran also issues a statement, in which they said that the ban is not about keeping Americans safe but a gift to the extremists. If the ban extends to other nations, the fate of corporate like Alphabet Inc (NASDAQ:GOOGL) and Facebook Inc (NASDAQ:FB) could be threatened overseas as these companies’ operations will be at stake in their international offices. Get stock alerts to check the progress.
Before Pichai, Facebook Inc (NASDAQ:FB) co-founder and CEO Mark Zuckerberg also criticized the order and said that he was ‘concerned by the order” in a Facebook post. He also said, “We need to keep this country safe, but we should do that by focusing on people who actually pose a threat.” It is also to be noted that Pichai himself is an Indian and the country supplies a huge workforce to the company in US and overseas. Get stock alerts for Facebook, Google, Microsoft, and other stocks.
Disclosure: We have no position in GOOGL, FB or MSFT and have not been compensated for this article.