The Trump administration has restricted several tech companies, such as Microsoft and Adobe, from applying for green cards for their H-1B visa holders. The decision, announced on Thursday, aims to prevent foreign workers from taking jobs from American employees.
Vice President JD Vance led the announcement, explaining that companies exploiting the green card process, intended for foreign workers, as a means to hire cheaper labor would face suspension from the PERM program. He pointed to Microsoft as a prominent example, noting its substantial layoffs over the past year while continuing to apply for H-1B visas and subsequently green cards.
“Our message to Microsoft and similar corporations is straightforward: We want you to prosper in the United States of America,” Vance stated. “We encourage investment in the American technology sector. We are strong supporters of your industry, and we want you to expand and create jobs. However, the priority is to employ American workers.”
While Microsoft was highlighted in Vance’s speech, other significant tech firms faced similar restrictions. U.S. Secretary of Labor Kieth Sonderling announced that IT outsourcing firms such as Cognizant, Infosys, Tata, Wipro, HCO, and Capgemini were also suspended from the PERM program.
Sonderling noted that the suspensions of Adobe and Microsoft were due to ongoing federal investigations. Consequently, current green card applications from these companies will not proceed, and new submissions will be denied.
Newsweek contacted all affected companies via email on Thursday morning for comments.
This story is developing, with further updates expected.
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