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● LIVE Updated 1h ago · 18 sources tracked

Trump Administration Brings The Hammer Down On Microsoft After Vance Said The Company Laid Off "6,000 American Workers" While Getting 6,300 H-1B Visas For Foreign Workers

The Trump administration has barred Microsoft and seven other technology firms, including Adobe, from sponsoring green cards through the PERM program. Vice President JD Vance initiated the suspension, alleging the companies abused the visa system to replace qualified American workers with lower-paid foreign hires. Vance specifically claimed Microsoft laid off "6,000 American Workers" while obtaining 6,300 H-1B visas. Microsoft President Brad Smith has denied these accusations of widespread fraud. This action coincides with a broader crackdown on visa abuse, including an investigation into nine universities for J-1 visa fraud.

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⚡ Key Developments & Real-Time Context
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  • ✓ The Trump administration suspended Microsoft and seven other tech companies from the PERM green card program.
  • ✓ Vice President JD Vance accused Microsoft of replacing "6,000 American Workers" with 6,300 H-1B visa holders.
  • ✓ The Labor Department inspector general is investigating nine universities for J-1 visa fraud.
  • ✓ President Trump awarded a National Medal to Microsoft CEO Satya Nadella around the time of the visa suspension.
🛡️ Source Corroboration: 18 independent reporting domains (95% confidence) ⏱ Read time: ~3 min

What changed

The administration expanded the suspension to include eight firms total and launched a Labor Department investigation into J-1 visa fraud at nine universities.

Live updates

  1. Trump Administration Suspends Microsoft from Green Card Program

    The Trump administration has barred Microsoft and seven other technology firms, including Adobe, from sponsoring green cards through the PERM program. Vice President JD Vance initiated the suspension, alleging the companies abused the visa system to replace qualified American workers with lower-paid foreign hires. Vance specifically claimed Microsoft laid off "6,000 American Workers" while obtaining 6,300 H-1B visas. Microsoft President Brad Smith has denied these accusations of widespread fraud. This action coincides with a broader crackdown on visa abuse, including an investigation into nine universities for J-1 visa fraud.

    Why it matters

    The PERM program is a critical pathway for H-1B visa holders to obtain permanent residency. This crackdown targets the perceived misuse of high-skilled visa categories to undercut domestic wages. The tension is highlighted by President Trump awarding a National Medal to Microsoft CEO Satya Nadella shortly after the suspension.

    What is confirmed

    • The Trump administration suspended Microsoft and seven other tech companies from the PERM green card program.
    • Vice President JD Vance accused Microsoft of replacing "6,000 American Workers" with 6,300 H-1B visa holders.
    • The Labor Department inspector general is investigating nine universities for J-1 visa fraud.
    • President Trump awarded a National Medal to Microsoft CEO Satya Nadella around the time of the visa suspension.
    • Microsoft President Brad Smith denied accusations that the company engaged in widespread fraud.

    Still unconfirmed

    • Infosys does not expect a material impact from the PERM suspension.
    • The tech industry warns the visa crackdown risks driving talent abroad.

    What to watch next

    • Official release of the visa data used by the administration to justify the suspensions
    • Court challenges from Microsoft or other barred tech firms
    • Findings from the Labor Department investigation into J-1 visa fraud at universities
    Sources used for this update (19)
    1. Politico — Tech industry warns Trump’s visa crackdown risks driving talent abroad
    2. The Seattle Times — As Microsoft cut from green card program, workers have questions
    3. GeekWire — From H-1B to CEO: How Satya Nadella traveled the path the U.S. just cut off for Microsoft workers
    4. CNBC — Vance says Microsoft replaced laid-off workers with foreign hires. Here’s what the visa data shows
    5. Reuters — India's Infosys does not expect material impact from US PERM suspension
    6. www.cnbc.com — Vance says Microsoft replaced laid-off workers with foreign ...
    7. 24/7 Wall St. — Trump Administration Brings The Hammer Down On Microsoft After Vance Said The Company Laid Off "6,000 American Workers" While Getting 6,300 H-1B Visas For Foreign Workers
    8. Rediff — 'Suspension Of PERM May Not Immediately Affect Indian IT Companies'
    9. NBC News — The Trump administration is suspending Microsoft from a green card program, alleging fraud
    10. fortune.com — Satya Nadella went from H-1B worker to Microsoft CEO. The ...
    11. economictimes.indiatimes.com — Trump honours Microsoft's CEO Satya Nadella after Vance drops H-1B visa hammer on company
    12. spectrumlocalnews.com — Trump administration suspends Microsoft from green card program, alleging visa fraud
    confidence 95%
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