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On Oct. 8, 2026, the Trump administration suspended Microsoft from a Labor Department program that lets employers sponsor foreign workers on H-1B visas for green cards. Vice President JD Vance accused the company of abusing the system. Adobe and six IT outsourcing firms were also suspended, and nine universities now face investigations over J-1 visas.
Foreign workers at Microsoft who hoped the company would sponsor them for a green card have lost that path for now. At a White House news conference on Thursday, Oct. 8, Vice President JD Vance said Microsoft is suspended from the Labor Department's Permanent Labor Certification program, known as PERM. Before sponsoring a foreign worker for permanent residency, an employer uses the program to show that no comparable American workers are available for the job. Labor Secretary Keith Sonderling said Adobe and the outsourcing firms Cognizant, Infosys, Tata, Wipro, HCL and Capgemini were also suspended. He said no new or pending applications involving these companies will be processed. [1] [3] [4] [5] [6] [8] [12]
Vance said Microsoft laid off 6,000 American workers in the last year while benefiting from 6,300 H-1B visas and nearly 3,000 green cards. He called workers hired this way "indentured servants," saying they must leave the country if they lose their jobs and earn less than Americans in the same roles. Sonderling said Microsoft and Adobe were suspended "due to multiple active federal investigations." The Washington Post reported that Vance offered no evidence for his replacement claim, and that it was unclear how long the suspension would last. In a blog post shared with Business Insider, Microsoft said 80% of its roughly 6,000 H-1B applications were for existing employees. [1] [2] [5] [6] [10]
The Labor Department's inspector general, Anthony D'Esposito, announced investigations into nine universities over possible abuse of J-1 visas, which bring international visitors to the U.S. for work and study exchanges. The schools are Harvard, Yale, Stanford, Brown, the University of Pittsburgh, the University of California, Davis, Caltech, Arizona State and MIT. "Subpoenas have been served, investigations are underway," D'Esposito said. The universities did not immediately respond to requests for comment. A few hours after the announcement, President Trump gave Microsoft CEO Satya Nadella the National Medal of Technology and Innovation and praised his leadership. Nadella thanked Trump on X and did not mention the accusations. [1] [2] [4] [10]
Summary written by Vox Populi News from the 12 sources below. See all sources
Yes. The Washington Post reports that the suspension does not bar Microsoft from employing H-1B workers, but it could make the company less attractive to workers who want permanent residency. [6]
Labor Secretary Keith Sonderling named Microsoft, Adobe, Cognizant, Infosys, Tata, Wipro, HCL and Capgemini. He said these companies have requested almost 3 million foreign workers since 2009. [3] [4] [5] [8]
In a blog post shared with Business Insider, Microsoft said 80% of its roughly 6,000 H-1B applications were for existing employees and that most of its U.S. employees are Americans. Several other outlets reported that the company had not immediately responded to requests for comment. [1] [2] [10]
Vice President JD Vance singled out the tech firm as he and other officials accused several companies and universities of committing visa fraud.

WASHINGTON (AP) -- President Donald Trump's administration is suspending tech giant Microsoft from a program to apply for green cards for workers who come to the U.S.

The Trump administration is suspending Microsoft from a major immigration program that allows its foreign workers to transfer from an H1B1 visa to a green card, accusing the tech giant of fraud.

Federal officials announced a crackdown on the use of legal immigration programs by companies and universities, suspending Microsoft and other firms from a program that allows businesses to bring…

* The U.S. Labor Department announced it would suspend Microsoft and Adobe from its Permanent Labor Certification.

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The Trump administration blocked multiple tech companies, including Microsoft and Adobe, from applying for green cards for their H-1B visa holders Thursday, saying jobs would not be stolen from…

The Trump administration will suspend Microsoft from a program allowing workers to apply for permanent residency in the United States, Vice President JD Vance said Thursday morning, alleging the…

Vice President JD Vance said the administration is suspending Microsoft, Adobe and other tech firms from a green card application program.View more Vice President JD Vance said Thursday that the…
Microsoft CEO Satya Nadella had a bizarre day. On Thursday morning, Vice President JD Vance hosted a press conference to announce that the US would suspend a major visa program for Microsoft's…
US Vice President JD Vance said Thursday that software giant Microsoft was being suspended from a key visa program as part of a fraud crackdown by President Donald Trump's administration.

The Trump administration has halted the ability of tech giants Microsoft and Adobe to sponsor H-1B visa workers seeking green cards, Vice President JD Vance announced Thursday.
