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US Suspends Microsoft, Adobe and Six Outsourcers From PERM Green-Card Program
Vice President JD Vance and Labor Secretary Keith Sonderling announced Oct. 8 the suspension of Microsoft, Adobe and six IT outsourcing firms from the PERM permanent labor certification program, alleging systemic visa fraud. The suspension is indefinite; issued green cards and existing H-1B visas are unaffected.
Why it matters
This is the Trump administration's harshest blow yet to the foreign-worker pipeline in tech: PERM is the mandatory first step employers must clear before sponsoring a worker for an employment-based green card. The suspension freezes all pending applications from these giants and cuts off the main employer-sponsored route to permanent residency for their employees.
Full report
On Thursday (Oct. 8), Vice President JD Vance and Secretary of Labor Keith Sonderling announced at a White House press conference on visa fraud that the Labor Department is suspending eight companies — Microsoft, Adobe, Cognizant, Infosys, Tata, Wipro, HCL and Capgemini — from the PERM program: "We will not accept any new or process any pending permanent labor certification applications involving these companies."
Vance singled out Microsoft: "You're a great American company, but you've got to hire great American workers." He said the company laid off about 6,000 American workers last year while receiving roughly 6,300 H-1B visas and nearly 3,000 green cards — "for every worker that Microsoft laid off, they replace that worker with one and a half foreign indentured servants." Vance said the suspension lasts "as long as it needs to," with tools to extend it indefinitely.
Sonderling said that since 2009 the companies requested nearly 3 million foreign workers, receiving more than 230,000 H-1B approvals and over 100,000 permanent labor certifications — "hundreds of thousands of jobs that were taken from American workers." The department stressed the move targets only PERM filings: already-issued green cards are not cancelled and existing H-1B visas remain valid.
At the same event, the administration opened investigations into nine universities, including Harvard, Yale and Stanford, for allegedly using international students to undercut American wages; the Labor inspector general said subpoenas had been served. Microsoft did not immediately respond to a request for comment.
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