US Administration Suspends Green-Card Applications for Major Tech Firms and Launches University Visa Probe
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US Administration Targets Immigrant Workers and Academic Freedom Under Pretext of Visa 'Abuse'

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Summary

The Department of Labor has halted green-card applications for tech giants and launched a probe into top universities, escalating its crackdown on immigrant workers and international students under the guise of protecting American jobs.

The U.S. Labor Department announced Thursday a sweeping freeze on permanent labor certification (PERM) applications for major technology companies, including Microsoft, Adobe, and Indian IT firms like Infosys and Cognizant. This aggressive move is framed as an 'enforcement effort' to combat alleged abuse of the skilled-worker immigration system, but critics argue it is yet another attack on immigrant workers who drive innovation and economic growth in the U.S.

Vice President JD Vance justified the suspensions, claiming they will last 'as long as it needs to,' and pressured companies to overhaul hiring practices he deems exploitative. Vance pointed to Microsoft’s use of 6,300 H-1B visas and nearly 3,000 green cards, while the company laid off 6,000 U.S. workers last year—a misleading narrative that scapegoats immigrants for corporate restructuring and ignores the real issues of labor rights and wage stagnation.

Microsoft countered that 80% of its recent H-1B filings were for existing employees, not new hires, and that it pays H-1B workers the same as their U.S. counterparts. Despite this, the company announced a further reduction of 4,800 jobs globally, highlighting the volatility of the tech sector and the need for worker protections, not xenophobic restrictions.

Ken Mahoney, CEO of Mahoney Asset Management, warned that the administration’s short-sighted measures may not immediately hurt tech giants financially, but could undermine long-term innovation and competitiveness—risks that will ultimately harm American workers and the broader economy.

The administration’s crackdown extends beyond corporations. Subpoenas have been issued to nine top universities—including Harvard, Yale, Stanford, Brown, and MIT—over vague concerns that exchange-visitor visas are being used to 'suppress American wages.' Labor Inspector General Anthony D'Esposito invoked fears of 'foreign influence' and 'improper financial relationships,' echoing nativist rhetoric that threatens academic freedom and international collaboration.

Sarah Spreitzer, vice president of the American Council on Education, cautioned that these investigations could have a chilling effect on the $40 billion international students contribute annually to the U.S. economy, further isolating the country and undermining its global leadership in education.

These latest actions follow previous anti-immigrant measures, such as the September 'Project Firewall' and a punitive $100,000 fee on new H-1B petitions. The administration continues to prioritize nationalist economic policies, doubling down on keeping jobs and production within U.S. borders at the expense of diversity, innovation, and international cooperation during President Trump's second term.

Source

Reuters

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