JD Vance slams Microsoft, says it swapped 6,000 laid-off Americans for ‘foreign indentured servants.’ Microsoft responds

The US suspended Microsoft, Adobe, and six IT firms from the PERM labor-certification program, alleging immigration rule abuses. The affected companies include Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies, and Capgemini. Labor Secretary Keith Sonderling cited concerns over systemic abuse and active federal investigations. The suspension delays green card processing for these firms but does not revoke existing visas.

Microsoft (MSFT) launched Microsoft-Decision-1, an AI model for rapid automated decisions. It handles tasks like query sorting and data verification, aiming to reduce latency in enterprise workflows. The model achieved high accuracy and speed in tests. MSFT stock rose 2.3% Friday and 3.4% for the week. The AI is already used internally, with plans to expand access. MSFT stock is up 10.3% year-to-date.

India criticized the US for suspending the Permanent Labor Certification (PERM) program for eight IT firms, including Tata Consultancy Services and Wipro, calling the move offensive. The freeze affects thousands of Indian professionals seeking permanent residency. Microsoft, one of the affected companies, stated that 80% of its H-1B visa applications were for existing employees, not new hires.

The Trump administration has suspended Microsoft (MSFT) and Adobe (ADBE) from the permanent visa program due to alleged H-1B fraud, according to Labor Secretary Keith Sonderling. The action follows a September executive order aimed at strengthening H-1B program integrity. Microsoft disputed the allegations, stating it complies with visa requirements and pays H-1B employees comparably to other workers.

The Trump administration suspended eight tech and outsourcing companies, including Microsoft and Infosys, from the PERM green-card program, blocking a key pathway to U.S. residency for foreign workers. The move does not affect existing H-1B visas but signals a broader crackdown on foreign-worker programs. The companies have collectively requested nearly 3 million foreign workers since 2009, according to Labor Secretary Keith Sonderling.

The Trump administration suspended permanent labor certification applications for Microsoft and five Indian IT firms (Wipro, Infosys, Tata Consultancy, Cognizant, HCL Tech) for 180 days, citing concerns over H-1B visa and green card practices. Microsoft, which laid off 6,000 US workers, filed 6,000 H-1B applications, mostly for existing employees. The move aims to protect American jobs and investigate alleged abuses of immigration programs.