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US Bars Microsoft, Adobe, and Major IT Firms From Green Card Program (techcrunch.com) 202

An anonymous reader quotes a report from TechCrunch: The Trump administration is suspending Microsoft, Adobe, and several other technology companies from a program that helps skilled foreign workers obtain permanent residency in the United States, accusing the companies of fraud. "Our message to Microsoft is: You're a great American company, but you've got to hire great American workers," U.S. Vice President JD Vance said in a news conference on Thursday, Reuters reported.

The other firms being suspended from the program include Capgemini, Cognizant, HCL, Infosys, Tata, and Wipro. Secretary of Labor Keith Sonderling said the government would not accept any new or pending permanent labor certification applications involving these companies. H-1B visas are designed for highly skilled positions that employers may struggle to fill with qualified U.S. workers. Tech companies are among the largest users of the program, with nearly three-quarters of approved visas going to workers from India, according to The Associated Press.

Vance also said during the news conference that the administration would investigate nine universities, including Harvard, Yale, and Stanford, over allegations they're abusing a program that allows international students to come to the U.S. and were using the program to undermine wages for American workers.
"We believe in the strength and talent of the American workforce," a Microsoft spokesperson said in a statement. "That is why the vast majority of Microsoft employees in the United States are Americans. We look forward to providing the Administration with additional information. For example, of the approximately 6,000 H-1B visa applications we submitted in the last fiscal year, 80% percent were to extend or change the status of existing Microsoft employees."

"These were not to hire new people. The remaining filings for new employees were for individuals already legally in the United States who decided to come work for us, and they equal only 1% of our U.S. workforce. They are not new arrivals to our country."
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US Bars Microsoft, Adobe, and Major IT Firms From Green Card Program

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  • Excellent Move (Score:5, Interesting)

    by NaCh0 ( 6124 ) on Thursday October 08, 2026 @07:03PM (#66368392) Homepage

    The fraud of firing 6000 workers and immediately hiring 6000 H-1Bs was too in your face.

    The Dept of Labor did the right thing by suspending Microsoft from the PERM program.

    • Re: Excellent Move (Score:4, Interesting)

      by FudRucker ( 866063 ) on Thursday October 08, 2026 @07:10PM (#66368396)
      Not so much fraud as it is disloyalty and disrespectful, the government and corporations demand loyalty and respect from us citizens but have none for us in return
      • by CAIMLAS ( 41445 )

        How was it not fraud?

        H1B is/was intended for worker shortages: for roles you couldn't fill domestically. It was not supposed to decrease the wage of the role, but (in theory) keep it at parity. It was always a ruse, but that was the premise.

        If you're firing people and then hiring others at a fraction of the pay, you're literally abusing it. You've applied under false premise. That's fraud.

        • Re: Excellent Move (Score:5, Interesting)

          by Tony Isaac ( 1301187 ) on Thursday October 08, 2026 @08:00PM (#66368448) Homepage

          Literally every company that uses H1B, abuses H1B.

          A few years ago, my company had to renew sponsorship for one of our H1B developers. They really wanted to keep the guy (and he *was* good at his job). As part of the process, we had to post the position and then "prove" that we couldn't find anyone in the US to fill it. The job posting was created to itemize the exact skillset this developer had, and the exact job duties this developer did. Any candidate that didn't meet the requirements *exactly* was rejected.

          This kind of stuff happens all the time.

          • Re: Excellent Move (Score:5, Interesting)

            by phantomfive ( 622387 ) on Thursday October 08, 2026 @08:31PM (#66368482) Journal
            This is true. I like my H1b coworkers (so I definitely won't report anything), but I've never seen a company apply for one in a way that wasn't fraud.
            • Re: Excellent Move (Score:5, Insightful)

              by Tony Isaac ( 1301187 ) on Thursday October 08, 2026 @10:15PM (#66368550) Homepage

              I'm not sure I'd call it "fraud" per se. Companies usually comply with the letter of the law, just not the spirit.

          • Re: Excellent Move (Score:4, Insightful)

            by Bahbus ( 1180627 ) on Thursday October 08, 2026 @08:32PM (#66368484) Homepage

            Because the whole process is stupid. If the company really wants to keep/hire a specific person, they shouldn't have to jump through hoops to do so. But if the only way to keep that person legally hired is to abuse a stupid system already in place, then so be it.

          • That means one quarter of working adults cannot support themselves. That's about 40 million people. So yeah we don't need to bring more people into this country we have plenty of people. Nobody is going to convince me that all 40 million of those people are too stupid to be trained on the tasks H1Bs do.

            And I could care less about innovation in this country. All that means is who owns the patents and it's not going to be me owning the patents so why the fuck would I care? I still have to pay the license
            • by Tony Isaac ( 1301187 ) on Thursday October 08, 2026 @10:20PM (#66368556) Homepage

              That means one quarter of working adults cannot support themselves.

              Huh? No, it doesn't mean that. Though the system is stupid, that does not mean a quarter of working adults cannot support themselves. What it does mean, is that wages are lower than they would otherwise have been. Those people who get beat out by H1B applicants, can still get jobs, they just can't get them for as much money as they could, if the H1B people weren't competing for them.

              And what on earth do patents have to do with anything? To get a patent, you have to apply for them, paying all the legal fees. Patents have very little to do with innovation, and everything to do with litigation. A patent is only valuable to the extent that you are willing to sue to protect it. It does not mean you invented something useful. It just means you filed the paperwork and paid the fees.

              I applaud you for getting through an entire post without mentioning the word "billionaire." Bravo!

              • by CAIMLAS ( 41445 ) on Friday October 09, 2026 @02:36AM (#66368668)

                From my math, once you account for inflation, Silicon Valley (and broader tech industry) compensation has declined about 23-30% since 2000, relative to the national average. I know multiple companies where it's basically been flat since 2012, particularly for support roles - $90-100k then is only making $105-110k now in the same roles (with some of the same people, granted, but also new blood).

                Considering how many foreigners from specific countries I see in places like Omaha, NE, I'm pretty sure it's not just a problem in Silicon Valley.

              • Not to mention EEOC.
                Not sure how that works at someplace like M$, but out here in the real world, an employer has to hire certain percentages of people based on the ethnicity of the area the company is in. So, even though you're than qualified to mop floors at a hospital and take out the trash, they have to hire Jose to meet EEOC rules.

                Not to mention how lawsuit happy everyone is now... if they hire me instead of Jose, Jose could get a lawyer and scream that their hiring me over him was a racial thing, and

            • Well... more than a quarter of Americans voted for a government that is against their own interests. Or just Google "funny things Americans say". How many Flat Earthers?

              But even most of those 40 million are not stupid, they may indeed not be skilled in the very narrow band of skills most H1B are looking for. I don't think many H1B are looking for skilled graphic artists, teachers or musicians. so these people aren't a 1:1 match for the work visas.

              But that ALSO means that what MS et al pulled here IS some ki

            • So, you agree with the basic idea, and hate the people who put forward the idea, at the same time... hmm.

          • by jhoegl ( 638955 )
            If your defense is "everyone does it", then why do we even have laws and rules?
            • My defense? Did you take my post as defending the practice? Not at all, you completely misunderstood. No, it's completely indefensible.

          • it's worse than that. they used to abuse h1b equally. now it's basically hiring only from one country

            • It's the fraudulent Indian contract companies that abuse the program. They helped make IT work the leading edge in professional gig work. They all should be banned in the U.S. if anyone cares about U.S. workers anymore.
          • The job posting was created to itemize the exact skillset this developer had, and the exact job duties this developer did

            The oldest trick in the book. I learned quickly not to bother applying for jobs at universities with overly specific job requirements, because these are almost always just designed to hire a specific graduate to continue previously unpaid research whilst getting around public service (australian universities are usually govt owned) laws that require new jobs be advertised. Its a technical

          • by Malc ( 1751 )

            This happens all the time for positions that don't have H1Bs. It's not unique to hiring and retaining H1Bs. Any business, institution or government agency that wants to fill a position and is required to publicly post a position has probably done this if they already have a specific candidate in mind.

      • by pla ( 258480 )
        It's explicitly fraud, because in sponsoring H1-Bs, a company needs to attest that it's unable to fill open positions with available domestic talent. If they just fired 6000 domestic workers, there are clearly 6000 domestic workers available for those roles.

        Granted, it's almost never enforced, which is what most of us in IT have been screaming about for decades.

        And I may just need to buy a lottery ticket tonight while dodging flying pigs, because the current administration has managed to hit "stopped o'
    • by drinkypoo ( 153816 ) <drink@hyperlogos.org> on Thursday October 08, 2026 @07:10PM (#66368398) Homepage Journal

      That might be true, except everyone who has been paying attention knows that all they have to do is buy enough Trumpcoins and the problem will dry up and blow away without fanfare.

      • Just do some light corporate restructuring on paper and hire them all back under a different corporate entity. Trump will look the other way because he's all about the cheap labor. The right wing has always been about cheap labor. Frankly so have conservatives. They talk a good game but it's just talk. Comforting lies
      • That might be true, except everyone who has been paying attention knows that all they have to do is buy enough Trumpcoins and the problem will dry up and blow away without fanfare.

        Is Trumpcoins still a thing? I just assumed the ballroom was overbudget.

    • Re: (Score:3, Insightful)

      by Bahbus ( 1180627 )

      The fraud of firing 6000 workers and immediately hiring 6000 H-1Bs was too in your face.

      Except that isn't what happened. So you're both wrong and stupid.

      • by Moryath ( 553296 )
        H1B abuse has been happening for decades. "Unicorn Job" listings are an indication that the company is just doing the motions and knows they won't hire an American. This change needed to happen even if for the Trump admin it's a Stopped Clock Moment.
        • by Bahbus ( 1180627 )

          But it *doesn't* solve anything. If that is the person they want to hire, and a VISA is the only thing preventing them from being hired, then tough shit. If you want to reform the H1B program, I'm all for it. But this isn't that and it's stupid to pretend that it is.

    • @USLaborIG: "I am announcing a historic investigation into the J-1 visa fraud involving nine major American universities — Pit, Yale, Harvard, Stanford, Brown, UC Davis, Caltech, Arizona State, and MIT. Subpoenas have been served; investigations are underway."

    • Pure capitalism.

    • by mjwx ( 966435 )

      The fraud of firing 6000 workers and immediately hiring 6000 H-1Bs was too in your face.

      The Dept of Labor did the right thing by suspending Microsoft from the PERM program.

      Oh, you think this is about doing the right thing... the US government... the current US government? I mean it's cute that you believe that.

      Adobe, MS, et al. are being targetted because they've got deep pockets. A few million given to the right orange madman and this problem goes away. They don't even have to do it in secret any more.

    • The fraud of firing 6000 workers and immediately hiring 6000 H-1Bs was too in your face.

      Except that according to the summary above, that did not happen:

      ...of the approximately 6,000 H-1B visa applications [Microsoft] submitted in the last fiscal year, 80% percent were to extend or change the status of existing Microsoft employees.

      I did watch Shady Vance's speech, in which he accused Microsoft of laying off 9,000 American workers and replacing them with 6,000 H1Bs.... but like they say "How do you know when a politician is lying? His lips are moving." (especially true just before an election)

      I do agree with cutting off the flow of H1Bs to the outsourcing companies (WIPRO, TATA, etc.). They have long manipulated the system.

      As far as the University students, they annou

  • by abulafia ( 7826 ) on Thursday October 08, 2026 @07:22PM (#66368410)
    Tim Apple was smart enough to gift a gold plated whatever.

    Sam Altman is a grifter himself and knew how to play this.

    And now that we know communism is actually defined as anti-bigotry and has nothing to do with the means of production, I guess it is not communist to take ownership in Intel.

    But Satya won't pucker up for Piggie. And so Microsoft gets to be the face of an attempt to gin up anti-Indian bigotry before the midterms.

    Welcome to the land of the free and the home of the brave.

  • It's just for show (Score:5, Interesting)

    by rsilvergun ( 571051 ) on Thursday October 08, 2026 @07:41PM (#66368424)
    Large companies hire these guys through contractors not directly. So this will have absolutely no impact on your ability to get a job in IT.

    The only way to stop the abuse is to completely shut down all of the programs. Americans cannot and will not do nuance. If we were capable of nuance as a people Donald j Trump wouldn't be president.

    I'm open to other suggestions but I have yet to hear a single one that is both viable and actually works. And in a country with 25% functional unemployment you can't keep flooding the job market with cheap labor. People are going to look for a solutions and when the left and the center don't have any then the fascists are going to step up. They aren't actually going to solve the problem but they will end democracy by promising to solve it.
    • Large companies hire these guys through contractors not directly. So this will have absolutely no impact on your ability to get a job in IT. The only way to stop the abuse is to completely shut down all of the programs. Americans cannot and will not do nuance. If we were capable of nuance as a people Donald j Trump wouldn't be president. I'm open to other suggestions but I have yet to hear a single one that is both viable and actually works. And in a country with 25% functional unemployment you can't keep flooding the job market with cheap labor. People are going to look for a solutions and when the left and the center don't have any then the fascists are going to step up. They aren't actually going to solve the problem but they will end democracy by promising to solve it.

      OK, you don't work in software. Good tech companies don't outsource core development. They hire in house. They also have a huge presence in every country they'd hire from. Microsoft can just as easily open an office in India, Poland, or anywhere else. All the major players are the same. They outsource things like cleaning the office, sometimes some shitty work they don't want to do, like content moderation, they might outsource printer maintenance or helpdesk operations. However, the H1Bs are usually

      • by Z00L00K ( 682162 )

        Labor in Europe isn't cheap.

        If you want cheap labor you need to go to Africa. But it won't be good.

        • Labor in Europe isn't cheap.

          That's not wrong for being plain wrong, but for being a wrong blanket statement.

          "Labor in Europe" is a range from Germany to eastern Bulgaria or southern Italy. You may not get Africa-cheap or India cheap, but not everywhere is expensive.

        • Labor in Europe isn't cheap.

          If you want cheap labor you need to go to Africa. But it won't be good.

          As someone already stated, Europe is huge. Not everything is London or Zurich. They have backwater villages and cousin-fucker countries, like most regions. Many companies open offices in Eastern Europe to tap into the talent pool. Also a highly skilled Polish engineer is cheaper than a shitty one from anywhere else in the word, no matter their wage. The cost of an engineer is a factor of productivity and salary, not just salary. Everyone who outsourced to India discovered this. Anyone in India with a

      • by bmajik ( 96670 ) <matt@mattevans.org> on Thursday October 08, 2026 @11:19PM (#66368596) Journal

        >OK, you don't work in software. Good tech companies don't outsource core development. They hire in house.

        I was a software engineer at Microsoft for 22 years.

        For all 22 of those years, Microsoft had core developers on every product who were not Microsoft employees.

        You may want to look up the "permatemps" lawsuit from the early 00s. Microsoft had so many permanant contractor "non employees" that they were succesfully sued for the practice.

        Microsoft has all kinds of legal sub-structures and "at a distance" legal entities for various employment arbitrage reasons. The technical talent of the people is not a determining factor in whether someone is a contractor, vendor, or full time employee.... Or if they are employed at an overseas subsidiary or domestically here in the USA.

        And Microsoft plays a LOT of games with hiring/employment laws.

        For instance, Microsoft had (has?) a large Vancouver development shop because, as I understand it:
        1) its faster to get Chinese/Indian nationals into Canada than it is to get them into the USA
        2) Vancouver is just up the road from Redmond, so easy to come down to Redmond for in-person meetings once in a while
        3) It's very fast, legally to get people from Canada to the USA

        So It was an open secret that MS would hire foreigners into the Vancouver office and park them there for, IIRC, 1 year, before moving them into the US.

        • I was a software engineer at Microsoft for 22 years.

          So you're saying you were hired in house as the GP asserted?

          Microsoft had core developers on every product who were not Microsoft employees.

          That's not the question. Now point to a product that was only managed via contractors and you may have a nice counterpoint. The contractors on core products make up only a subset of the employees. Microsoft very much still do employ people directly, you even emphasised that claim yourself.

        • A contractor is an MS employee without benefits, managed by MS. Outsourcing is hiring a contracting firm, like Tata, to manage the employees at a much higher cost. Everyone uses contractors. None of the serious players use outsourcing firms for core work.

          MS is using H1Bs to keep development at their main sites, like Seattle. The commenter stated that they could just contract it through an outsourcing firm, like Tata.

          Ironically the H1Bs are helping the locals more than hurting as it makes you valua
      • Good tech companies don't outsource core development.

        Are the good tech companies in the room with us? Why don't you name some for us?

        • Good tech companies don't outsource core development.

          Are the good tech companies in the room with us? Why don't you name some for us?

          If you're using their product, it's done in-house. The only software firms that outsource core development probably shouldn't be called software firms. You know I meant good in the sense of engineering, not virtues. Cool quip, though.

    • by phantomfive ( 622387 ) on Thursday October 08, 2026 @08:34PM (#66368492) Journal

      The other firms being suspended from the program include Capgemini, Cognizant, HCL, Infosys, Tata, and Wipro.

      Those are the contractors.

      I'm open to other suggestions but I have yet to hear a single one that is both viable and actually works.

      I don't really oppose H1b, but arrest one CEO who is hiring people illegally, and this will stop.

      • No one is doing anything illegal here (and even if they were it would be impossible to pin it on the CEO unless they directly stated to do that). The problem is that the intent of the law isn't followed. The letter of the law however very much is which is why these companies were very much getting their visas issued in the first place.

        • No one is doing anything illegal here

          They are doing illegal things. They know that qualified candidates exist, but conduct the search intentionally in such a way that candidate will not be found.

      • by sinij ( 911942 )

        I don't really oppose H1b, but arrest one CEO who is hiring people illegally, and this will stop.

        You don't even have to go that far. Disbar a few corporate lawyers filing immigration paperwork and that will likely solve the problem. Corporate people commit the fraud because they have near certainty of not being held accountable. Change that and immigration fraud at scale goes away.

    • they will end democracy

      Inexplicable use of the future tense.

  • Instead (Score:4, Insightful)

    by Retired Chemist ( 5039029 ) on Thursday October 08, 2026 @07:59PM (#66368444)
    So, instead of hiring these foreign workers and bringing them to the US, they will hire them and employ them in their home countries at even lower wages.
    • by bussdriver ( 620565 ) on Thursday October 08, 2026 @08:43PM (#66368498)

      20 years ago there was a big push to outsource to India; following IBM and others. What stopped it? Well you can't legally do much of anything to them. You can protect yourself legally if you import the workers and you can likely abuse them more too. I've seen corps in my state get burned by Indian firms who realized they did all the work and got little money; they didn't need their owners, just a US marketing dept. and compete against their exploiter... cheaper. Hell, during the housing collapse, some of the contractors turned around and bought their "owners" then laid off most those useless rent seekers.

      Maybe they will realize they can make US workers relocate abroad for lower pay and still be able to sue them? (as long as they are contractors.)

      • So move them to offices in Thailand or Viet Nam or a bunch of other places. You do not have to contract out the work, just create a local subsidiary.
        • by hwstar ( 35834 )

          2 reasons that usually doesn't happen unless you are a very large company.

          1.Offices cost money to lease and staff with the necessary recruiters, HR, and other support employees.

          2. Employment laws tend to protect the employee better in most of the rest of the world, unless you are in a poor and very small country. The USA is known for it's "business friendly" employment laws and is an outlier when compared to the rest of the world.

          I worked for a Fortune 500 who had offices in India, but they could absorb the

      • What stopped it?

        Your entire post begged the question. This practice never stopped.

    • by chiguy ( 522222 )

      There's a reason these companies brought thousands of H1bs to the US despite it being much more expensive to do so, instead of just hiring the same amazing people and keeping them offshore. You can ask those companies why. But one reason is the efficiency of working with them locally is worth the expense. So they might employ them in their home country, but will likely find an American worker who is just as skilled.

      I for one have not run into an Indian developer who was so good that you couldn't find an Ame

  • Don't get me wrong, there are a lot of smart folks from India working on these named companies. Yes, it is disheartening to spend months of your time writing knowledge base articles, documents and train your replacement. Been there, done that. Meanwhile, others have ways away to be considered for a junior role yet rock a much higher title on their signatures. Exactly as some born and raised here.

    The obvious outcome: companies will start eliminating positions on US soil and hire even more positions from thei

    • by Echoez ( 562950 )

      I don't disagree with much of what you said BUT it stands to reason that it's already the case that companies could outsource. Instead, they've chosen to go through the complex process of bringing H1B visa workers to the US.

      I know in my company (which has a huge office in India) that they find it harder to keep high-performing Indian workers over there than it is here. The high-performing ones switch companies frequently.

      So I'm not sure what the calculus looks like but it might be the case that H1B >

  • Lazy reporting (Score:5, Interesting)

    by hey_popey ( 1285712 ) on Thursday October 08, 2026 @08:06PM (#66368462)
    At the risk of getting down-modded into oblivion, seeing the tone of most comments so far... Neither TFA nor the Reuters source care to explain how blocking the conversion from H-1B to Permanent Residency (aka Green Card) will prevent companies from hiring new foreign workers by applying for H-1B or any other visa type. Foreign workers (like myself in a different country) are usually happy to stay on any work visa and wait it out until whenever the combination of "administration policy" + "permanent residency conditions" are favorable. Also, with a 3.3 % tech unemployment rate, it seems easy to justify "that employers may struggle to fill [positions] with qualified U.S. workers".
    • Well a significant portion of H1-B immigration occurs due to the pathway to a Greencard it provides. There's a very small subset of people who relocate across the globe without a path to permanent residency, and they typically chase contracts and projects and aren't directly employed by the companies themselves.

  • Woah - maybe that will solve the "you have to be in their village" to get hired problem.
  • Giving out work visas for some vague supply gap was always a bad idea with perverse incentives. Compounding it with the PERM fiction for green cards, even worse.

    Democrats should have implemented immigration registry reform while they could.

  • What has Disney been up to since being in the spotlight for this stuff over 10 years ago? "Hey we've eliminated your position so we need to let you go but we want you to train your replacement (who just happens to be a lower paid H-1B)".

    https://it.slashdot.org/story/... [slashdot.org]

    https://politics.slashdot.org/... [slashdot.org]

    https://politics.slashdot.org/... [slashdot.org]

    https://slashdot.org/index2.pl... [slashdot.org]

  • by CEC-P ( 10248912 ) on Friday October 09, 2026 @09:14AM (#66368936)
    I am so sick of these psychopathic billionaires that DO NOT need more money trying to scam the system and bring in cheap H1Bs to make the stockholders happy. I'm even more sick of Indian C-levels bringing in exclusively their own people because they're racist assholes.
  • and however bad you think they are, they're worse. The "network specialist" they sent over didn't know how to ping a gateway. The other guy from Africa somehow got cleared to work in a hospital despite testing positive as a tuberculosis carrier. They falsified my vaccination paperwork (and I'm an American!) and I had to quit the project early because of it. They also got caught ripping off my crew on overtime. They tried to pay us 0.5x not 1.5x. Then they kept "forgetting" to reimburse me for mileage, and d
  • Because it was originally for "Highly skilled workers", and not meant as a cheaper replacement for American workers, specifically, a minimum of 60K was set in 1989 and it has never been raised. There have been multiple bipartisan attempts but they were all buried in subcommittee never to see a vote. That 60k has been an elastic band to IT salaries for many years... H1-B needs to be completely redone.
  • MS and Adobe are a good start, but my understanding is that on numerous occasions, IBM, Disney, and HP too (IIRC) have had their employees train their H1-B replacements before laying them off, so what about them?

    My suspicion is that if they weren't included, it's because their people came to some shady arrangements with people close to the Trump administration. It honestly would be pretty shocking if that weren't the case, because--over and over--it's been demonstrated that this admin is coin-operated in th

  • After diving into the details seems the retriction is on Microsoft and others, but i didnt see this hit being taken by Oracle. I guess all that sucking up to Trump really did pay off.

  • by radarskiy ( 2874255 ) on Friday October 09, 2026 @01:33PM (#66369278)

    These companies are being suspended from filing PERM applications to sponsor someone for a green card, i.e. permanent work and residence authorization. Once a worker has a green card they no longer require sponsorship from a specific employer

    Note that to sponsor a PERM application the employer has to re-advertise the position *the worker already fills* and they are required to *re-apply for the job they already hold*. This does not affect new hires since they are not eligible for PERM anyway.

    These are not applications of H-1B temporary visas. Every comment about H-1B visas is off-topic.

    Note that the effect of this suspension will be to *increase* the demand for H-1B from those companies, since any employee seeking permanent residency will jump ship at the first opportunity. Once again, the greatest obstacle to this administration achieving its aims is itself.

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