Microsoft Hit by Green Card Freeze as JD Vance Accuses It of Replacing US Workers With Foreign Hires

The US suspended Microsoft and other tech firms from the Permanent Labor Certification Program, accusing them of abuse. Microsoft claims most of its workers are American and disputes the allegations. The suspension comes amid broader immigration crackdowns.

Microsoft (MSFT) is suspended from the PERM labor-certification program, potentially impacting its ability to retain foreign workers. Vice President JD Vance accused the company of abusing the system. Other tech firms like Cognizant (CTSH), Infosys (INFY), and Adobe (ADBE) are also affected. Shares of some companies fell over 3%, while Microsoft's were unchanged.

The U.S. Department of Labor suspended Microsoft (MSFT) and Adobe from its permanent labor certification program due to federal investigations. Microsoft's stock is trading at $522.01, 11.7% below its GF Value™ of $591.09, with a GF Score™ of 99/100. The company has seen significant insider sales but no purchases in the last three months.

The Trump administration suspended Microsoft, Adobe, and other tech companies from the PERM program, a key step for H-1B visa holders seeking green cards. The Labor Department is investigating alleged fraud, claiming these companies undercut American workers. Microsoft denied wrongdoing, stating it hires American workers and attracts global talent. The suspension follows similar actions against OpenAI and Apple. Microsoft had 3,688 H-1B visas approved in 2026, with 80% for existing employees.

The US Labor Department suspended eight tech firms, including Microsoft, Adobe, and Infosys, from the Permanent Labor Certification (PERM) program, halting new and pending green card applications. The administration claims these companies sought nearly 3 million foreign workers since 2009. Microsoft denies disadvantaging American workers, stating it pays H-1B employees comparably. The suspension may disrupt permanent residency paths for tech workers.

The Trump Administration suspended Microsoft and other tech companies from seeking permanent residence for H-1B visa holders. Vice President JD Vance accused Microsoft of laying off 6,000 American workers while seeking residency for 6,300 foreign workers, alleging misuse of the visa program. The announcement coincided with President Trump's scheduled award of the National Medal of Technology and Innovation to Microsoft CEO Satya Nadella.