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Explainer-The Tech Green-Card Program Under Attack From Trump

Labor Secretary Keith Sonderling said the department will stop accepting new PERM applications from eight companies and will not process pending cases.

  • On Thursday, Vice President JD Vance announced the U.S. government suspended Microsoft and seven other technology companies from the Permanent Labor Certification Program , citing visa fraud allegations.
  • Vance alleged the companies misused the system, claiming Microsoft laid off 6,000 American workers last year while receiving approval for over 6,000 H-1B visas.
  • Microsoft rejected the claims, telling TechCrunch that most employees are Americans and 80% of its H-1B applications were for existing staff; the suspension also affects Adobe, Capgemini, Cognizant, HCL, Infosys, Tata, and Wipro.
  • Labor Secretary Keith Sonderling stated his department will stop accepting new PERM applications from the eight companies, though existing H-1B visas remain valid.
  • Beyond private employers, Vance announced investigations into nine universities, including Harvard, Yale, and Stanford, for allegedly misusing programs that bring foreign students to the U.S.
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El Economista broke the news in Mexico City, Mexico on Thursday, October 8, 2026.
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