Capgemini to Sell US Government Subsidiary Amid Criticism Over ICE Contracts
French technology consulting giant Capgemini announced it will divest its subsidiary Capgemini Government Solutions following sustained criticism over the unit’s work with the U.S. Immigration and Customs Enforcement (ICE) agency. The Paris-based company confirmed the sale process “will be initiated immediately” in a Sunday statement carried by French media outlets.
Financial Impact and Strategic Decision
The corporation emphasized the subsidiary represents a minor portion of its global operations, accounting for just 0.4% of total group turnover and less than 2% of its U.S. business. “This decision aligns with our ongoing portfolio review and commitment to stakeholder priorities,” the statement noted, without directly referencing the ethical concerns driving the divestment.
Origins of the Controversy
Public scrutiny intensified after ICE’s controversial “Operation Metro Surge” in Minnesota last December, where federal agents conducted sweeping undocumented immigrant arrests in the Democratic-led state. French watchdog group Multinational Observatory revealed Capgemini Government Solutions had provided ICE with specialized identification and location-tracking technology used in enforcement operations.
Minnesota Protests Turn Tragic
The ICE operations sparked mass demonstrations across Minnesota, with protesters demanding the agency’s withdrawal from the state. Tensions escalated dramatically when two American protesters – 37-year-olds Renée Good and Alex Pretti – were fatally shot by immigration agents during clashes. These deaths ignited nationwide outrage and amplified criticism of companies supporting ICE’s activities.
Broader Implications for Tech Ethics
This case highlights growing pressure on technology providers to audit government contracts for human rights implications. As a €22.5 billion global enterprise with 350,000 employees, Capgemini’s response establishes precedent for how multinational corporations address ethically complex engagements. Legal experts note the divestment reflects evolving standards in corporate social responsibility, particularly regarding immigration enforcement technologies.
Source: Original report
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