Trump Administration Suspends Microsoft, Adobe from Green Card Sponsorship Program

The Trump administration has suspended Microsoft and Adobe from the Permanent Labor Certification Program (PERM), a critical first step employers must complete before sponsoring foreign workers for employment-based green cards. VP JD Vance and Labor Secretary Keith Sonderling announced the move at a press conference, with Vance accusing Microsoft of exploiting the program — claiming the tech giant replaced laid-off workers with roughly 1.5 foreign hires for every American cut. Microsoft filed more certified PERM applications than any other employer in the first three quarters of fiscal year 2026, racking up 1,504 filings, with an additional 174 from subsidiaries LinkedIn and Activision. Adobe filed 168 in the same period.

The announcement carries an awkward timing dimension: it came just over a week after Microsoft CEO Satya Nadella sat two seats from Vance at Trump's White House 'Super Intelligence' AI luncheon. Microsoft pushed back, arguing that roughly 80% of its approximately 6,000 H-1B visa applications in the last fiscal year were to extend or change the status of existing employees — not to hire new ones. The company also noted the remaining applications covered people already legally in the US and represented just 1% of its domestic workforce, with the vast majority of its US employees being American citizens.

The crackdown extends well beyond Big Tech. Labor Secretary Sonderling also suspended Cognizant, Infosys, Tata, Wipro, HCL Technologies, and Capgemini — some of the heaviest users of employment-based immigration pathways in the country. Separately, Vance announced investigations into nine universities, including Harvard, Yale, and Stanford, over allegations that they used J-1 exchange visas to suppress American wages. Labor Department Inspector General Anthony D'Esposito confirmed subpoenas had already been served.

The immediate fallout for workers in the pipeline remains murky. It's unclear how long the suspensions will last or what happens to employees whose PERM applications are already pending — a significant concern given that the Labor Department was already taking an average of 336 calendar days to process applications as of August. The move marks the latest and sharpest escalation in the administration's campaign against companies that rely heavily on high-skilled foreign labor, particularly through the H-1B system.