US suspends – The US government has suspended permanent residency labor certifications for seven major tech companies, citing alleged abuse of H-1B visa programs.
The doors to permanent residency have suddenly slammed shut for seven major technology firms. In a sweeping move announced today. the US government suspended the processing of permanent labor certification applications for Microsoft. Adobe. Cognizant. Infosys. Tata Consultancy Services. Wipro. HCL Technologies. and Capgemini.
Labor Secretary Keith Sonderling confirmed the administrative freeze. stating. “We will not accept any new or process any pending permanent labor certification applications involving these companies.” The decision marks a significant escalation in federal scrutiny over how large corporations navigate the path from temporary H-1B status to permanent green cards.
Vice President JD Vance framed the suspension as a correction of a systemic imbalance. He alleged that the targeted companies intentionally under-advertised open positions to domestic candidates. creating a pipeline that favored international hires over American workers. Vance singled out Microsoft in his remarks. characterizing the practice as a way to replace domestic talent with what he described as “foreign indentured servants. ” adding. “There has been no company in the United States. unfortunately. that has used this system more than Microsoft.”.
Data from the US Citizenship and Immigration Services paints a picture of the scale involved: Amazon currently stands as the top employer of H-1B recipients, followed by Tata Consultancy Services, Infosys, Apple, and Microsoft.
Microsoft, the most prominent name in the crosshairs, pushed back against the allegations. In a public statement, the company maintained that the vast majority of its US workforce is American. Microsoft clarified that of its roughly 6. 000 H-1B applications filed last fiscal year. 80 percent were intended to extend or change the status of people already on their payroll. They asserted that filings for new employees—people already legally present in the United States—accounted for only 1 percent of their domestic workforce. “Microsoft only files H-1B petitions for those who meet the rigorous standards of this visa category,” the company stated. Adobe has yet to provide a statement regarding the suspension.
This aggressive stance follows a trail of similar legal actions. In August. the Department of Justice secured a $3.2 million settlement with OpenAI over claims that it had under-advertised domestic roles in favor of visa holders. Meta faced similar accusations in 2021, and Apple settled a parallel case in 2023.
The government’s reach now extends beyond corporate offices. Officials also announced investigations into nine higher education institutions. including Harvard University. Yale University. and Stanford University. regarding potential abuses of J-1 visa programs meant for international students. As the investigations widen. a clear pattern emerges: federal authorities are dismantling the processes that have long governed how technology and academic sectors recruit from abroad.
Microsoft Adobe US government H-1B visa green card labor certification JD Vance tech industry immigration