Capgemini Under Fire: French Government Demands Answers on ICE Contract Amid Job Cuts and Revenue Dip

PARIS, 28 January 2026 – French multinational IT services group Capgemini finds itself at the centre of a political and ethical storm. The French government is demanding explanations over the company’s work with the United States Immigration and Customs Enforcement (ICE), even as it announces plans to cut up to 2,400 jobs in its home country and reports a slight decline in annual revenue for 2024.
Political Pressure Over US Immigration Contract
France’s Finance Minister has publicly urged Capgemini to clarify the nature and scope of a contract held by one of its US subsidiaries with ICE. Revelations that the subsidiary has been assisting in tracking undocumented individuals, including managing a victim hotline and building a multi-million dollar “skip tracing” system, have triggered significant concern among French lawmakers and the government. The pressure is mounting for Capgemini to review these activities, which critics argue conflict with France’s values and the company’s own stated ethical commitments.
Financial Performance & Restructuring in France
The political controversy coincides with significant operational challenges. Capgemini recently reported its financial results for the full year 2024, showing group revenues of €22.10 billion, a slight decline of 1.9% on a reported basis. The fourth quarter saw revenues of €5.58 billion, down 1.1% year-on-year at constant exchange rates. Despite the dip, the company maintained stable operating margins.
Separately, on 20 January 2026, Capgemini announced a “voluntary jobs and skills adaptation project” in France that could lead to the reduction of up to 2,400 roles, representing approximately 6% of its workforce in the country. The company cited the need for adaptation amid market headwinds, particularly in the manufacturing sector.
Key Facts at a Glance
| Issue | Details |
|---|---|
| ICE Contract Scrutiny | French government demands clarity on Capgemini US subsidiary’s work with US Immigration and Customs Enforcement. |
| FY 2024 Revenue | €22.10 billion, a decrease of 1.9% on a reported basis. |
| Q4 2024 Revenue | €5.58 billion, down 1.1% at constant currency. |
| French Job Cuts | Up to 2,400 voluntary role reductions planned, about 6% of French workforce. |
| ESG Policy | Company recently updated its policy, reinforcing commitments to ethical AI, net zero emissions by 2030, and sustainable growth. |
ESG Commitments Under the Microscope
Amid the scrutiny, Capgemini’s environmental, social, and governance (ESG) promises are facing increased examination. The company has recently updated its ESG policy, strengthening its focus on ethical leadership, responsible growth, and ambitious targets to become carbon neutral for its own operations by 2025 and a net-zero business across its entire supply chain by 2030. Observers note the apparent tension between these public commitments and the controversial nature of the ICE contract work.
Frequently Asked Questions
Why is the French government concerned about Capgemini’s US contract?
The French government and several lawmakers are concerned that Capgemini’s work with US ICE—specifically in systems to track undocumented immigrants—may conflict with French ethical standards and the nation’s generally more welcoming stance on immigration compared to current US policy. They are seeking transparency and a potential review of the activities.
Are the 2,400 job cuts in France mandatory?
Capgemini has framed the reductions as a “voluntary jobs and skills adaptation project.” This typically means the company will seek volunteers for redundancy or retraining packages, aiming to avoid forced layoffs where possible.
How did Capgemini perform financially in 2024?
For the full year 2024, Capgemini’s revenue saw a slight decline of 1.9% to €22.10 billion. The company managed to keep its operating margin stable, which analysts view as a sign of resilient cost management despite revenue headwinds in sectors like manufacturing and in the French market.
