U.S. officials suspend PERM green-card certifications for Microsoft, Adobe and several outsourcing firms
The U.S. Labor Department announced the suspension of Permanent Labor Certification applications for Microsoft, Adobe and several IT outsourcing companies, citing alleged abuse of H-1B and J-1 visa programs.
Vice President JD Vance and Labor Department officials said on Thursday that the administration is suspending the Permanent Labor Certification (PERM) program for Microsoft, Adobe and a group of major IT outsourcing firms, including Cognizant, Infosys, Tata, Wipro, HCL and Capgemini. The action follows investigations that the agencies say indicate the companies have used foreign-worker visas in ways that disadvantage U.S. workers.
"We will not accept any new or process any pending permanent labor certification applications involving these companies," Labor Secretary Keith Sonderling said, adding that the firms have collectively requested nearly 3 million foreign workers since 2009 and received more than 230,000 H-1B approvals and over 100,000 permanent labor certifications.
Vance noted that Microsoft laid off 6,000 U.S. employees last year while receiving 6,300 H-1B visas and nearly 3,000 green cards, and said the suspension is intended to encourage companies to prioritize hiring American workers.
The Labor Department also announced investigations into alleged J-1 visa misuse at several universities, including Harvard, Yale, Stanford and MIT. Inspector General Anthony D'Esposito said subpoenas have been issued and investigations are underway.
Attorney General Todd Blanche warned that criminal charges could be pursued against companies or individuals found to have violated U.S. law. Microsoft declined to comment, and Adobe was not reached for comment.