Trump administration defends American jobs, halts PERM green-card applications for tech giants exploiting visa loopholes
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The U.S. Labor Department has barred Microsoft, Adobe, and several outsourcing companies from filing new PERM labor-certification applications, taking a bold stand against the abuse of the H-1B to green-card pathway that has been used to replace American workers with cheaper foreign labor.
On Thursday, the Department of Labor, under the Trump administration’s leadership, announced a decisive action to protect American workers by suspending Microsoft, Adobe, and a group of IT outsourcing firms—including Cognizant, Infosys, Tata, Wipro, HCL, and Capgemini—from processing existing PERM green-card applications or submitting new ones. This move comes in response to Vice President JD Vance’s strong remarks highlighting how some companies exploit the H-1B visa and green-card process to replace U.S. workers with lower-cost foreign labor, undermining American livelihoods.
"We want you to thrive in the United States, but you have to employ American workers," Vance told reporters, exposing the hypocrisy of companies like Microsoft, which laid off about 6,000 U.S. employees in the past year while securing roughly 6,300 H-1B visas and 3,000 green-card approvals. This is a clear example of corporate greed putting profits over American families.
Microsoft attempted to defend its practices, claiming it relies on American talent and only files H-1B petitions for highly qualified candidates. The company insisted its H-1B employees are paid comparably to U.S. workers, but these assurances ring hollow in light of the mass layoffs and continued importation of foreign labor.
Labor Secretary Keith Sonderling revealed that the suspensions are tied to “multiple active federal investigations” and highlighted the administration’s discovery of $22 billion in visa fraud. He emphasized that restricting the PERM pathway is necessary to stem the flood of foreign labor that has been displacing hardworking Americans for years.
Immigration-policy advocates responded along predictable lines. NumbersUSA co-president Jeremy Beck welcomed the announcement, calling it a rare acknowledgment of the H-1B program’s potential to harm American workers. Meanwhile, David Bier of the Cato Institute—an open-borders advocate—criticized the action as “lawless” and warned it could hurt companies and foreign workers, disregarding the plight of Americans left jobless.
Former Department of Homeland Security official Doug Rand argued that blocking companies from sponsoring green cards could undermine workers’ job mobility and bargaining power, but this ignores the fundamental issue: American jobs must come first.
The PERM program, run by the Labor Department, is supposed to ensure that no qualified U.S. worker is available before a foreign employee is granted a green card. However, critics have long warned that the process is easily manipulated by corporations seeking cheap labor, while supporters claim it provides stability for employers and foreign workers—often at the expense of Americans.
Vance clarified that the administration is not seeking to eliminate the H-1B program but called on Congress to reform it, with stricter limits based on genuine labor shortages and higher wage requirements. This is a crucial step toward restoring fairness and protecting the American workforce.