PR Newswire
Time-Sensitive: Allegations Focus on Concealed Wage Freezes and Failed Iteris Integration That Allegedly Undermined Globant’s Workforce and Client Relationships
NEW YORK, May 13, 2026 /PRNewswire/ — Levi & Korsinsky, LLP alerts investors in Globant S.A. (NYSE: GLOB) of a pending securities class action. Class Period: February 15, 2024 through August 14, 2025. Check if you can recover your investment losses or contact Joseph E. Levi, Esq. at [email protected] | (212) 363-7500.
Globant shares lost over $143 per share during the class period, a decline of approximately 68%. The Court has set June 23, 2026 as the deadline to apply for lead plaintiff appointment.
The Alleged Wage Freeze and Its Consequences
While Globant publicly described itself as the “employer of choice” in Latin America and emphasized that employee retention was “one of our main priorities,” the lawsuit asserts that the Company had frozen wages for employees in Mexico and Argentina beginning in late 2023. Given double-digit inflation in both countries, these freezes effectively amounted to pay cuts. The action claims this decision triggered widespread employee unrest, degraded client service quality, and undermined the very workforce Globant was marketing to investors as a competitive advantage.
In Argentina, the situation allegedly grew so severe that the Computer Trade Association formally petitioned Globant’s leadership for urgent salary increases. According to the lawsuit, no response was given. Workers also alleged the Company blocked unionization efforts and terminated an employee for creating a messaging group to discuss wages.
Iteris Acquisition: Alleged Integration Failures in Brazil
Globant acquired Brazilian consulting firm Iteris in December 2023 as part of its $1 billion Latin American expansion. The lawsuit contends this acquisition was troubled from the start:
- Former Iteris clients allegedly left because Globant’s hourly rates were too high for the Brazilian market
- Iteris employees were never given promised salary and benefit increases meant to match legacy Globant staff
- Client service quality, which had been a priority at Iteris, allegedly deteriorated under Globant’s management
- The integration failure directly contradicted management’s statements about “doubling our team” and “reinforcing digital transformation projects” in Brazil
- Globant’s Brazilian operations experienced what management later called “deterioration” throughout 2024
“Investors deserve transparency about material risks that could affect their investments. When a company publicly touts employee satisfaction and acquisition success while allegedly concealing wage freezes and integration failures, shareholders are deprived of the information they need to make informed decisions.” — Joseph E. Levi, Esq.
Speak with an attorney about recovering damages or call (212) 363-7500.
Why Workforce Stability Allegedly Matters to Investors
Globant is a services company. Its product is its people. As pleaded in the complaint, when the Company froze wages during a period of severe inflation, it set off a chain reaction: employee dissatisfaction led to talent attrition risk, which degraded service delivery, which drove client defections and project cancellations. The lawsuit contends this cycle was already well underway when management told investors demand was “very, very high” and that the Company was “continuing hiring in many countries.” In reality, Globant was allegedly reducing team sizes on projects just to retain the clients it still had.
ABOUT LEVI & KORSINSKY, LLP
WHY LEVI & KORSINSKY — Ranked in ISS Securities Class Action Services’ Top 50 Report for seven consecutive years, Levi & Korsinsky, LLP is a nationally recognized leader in shareholder rights litigation. With a team of over 70 professionals, the firm has recovered hundreds of millions of dollars for investors.
Frequently Asked Questions About the GLOB Lawsuit
Q: Who is eligible to join the GLOB investor lawsuit? A: Investors who purchased GLOB stock or securities between February 15, 2024 and August 14, 2025 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.
Q: How much did GLOB stock drop? A: Shares fell approximately 68%, a decline of over $143 per share, after the company disclosed the true state of its Latin American operations through a series of corrective disclosures in 2025. Investors who purchased shares during the class period at artificially inflated prices may be entitled to compensation.
Q: What do GLOB investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at [email protected] or (212) 363-7500. No immediate action is required to remain eligible as a class member.
Q: What if I already sold my GLOB shares — can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.
Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.
Q: What if I missed the lead plaintiff deadline? A: The deadline applies only to investors seeking lead plaintiff appointment. Class members who miss it can still participate in any settlement or recovery.
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
[email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171
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SOURCE Levi & Korsinsky, LLP
