Trump administration is suspending Microsoft from a green card program

US President Donald Trump's administration announced Thursday it was suspending Microsoft and several other firms from a program allowing foreign workers to apply for green cards, as it also lashed out at universities that bring international students to the US on exchange programs.

The announcement by Vice President JD Vance marks the latest swing from the Trump administration at employers and universities that welcome foreign students and workers into the country.

Such programs have frequently been targeted by some Trump supporters who argue they undercut American students and workers.

Supporters say they allow the US to attract the best talent from around the world and fill important hiring gaps.

Supporters of the Republican president have long argued that various programs like H-1B visas – which Vance accused Microsoft of abusing – essentially empower American companies to recruit foreign workers for jobs that end up undercutting Americans.

In the wide-ranging announcement, Vance and other top administration officials also called out universities over their use of J-1 visas for international students and information technology outsourcing firms.

The announcement came hours before Trump awarded the National Medal of Technology and Innovation to Microsoft CEO Satya Nadella, part of an event at which he granted some of the nation's most prestigious science and technology awards to his tech billionaire allies.

Vance said H-1B workers are effectively foreign indentured servants because if they lose their jobs, they have to leave the country, and they earn less than Americans in the same position.

Microsoft, which is based in Redmond, Washington, said of the approximately 6,000 H-1B visa applications it submitted in the last fiscal year, 80% were "to extend or change the status of existing Microsoft employees." "These were not to hire new people," Microsoft said in a statement.

The H-1B program has long been a target of Trump supporters who say that the program undercuts American workers and is rife with abuse.

H-1B visas are meant for high-skilled jobs that are difficult to find American workers to fill.

Technology companies are the biggest users, with nearly three-quarters of approvals going to workers from India.

Besides Microsoft, Vance said the government was similarly suspending Adobe and tech consulting firms Cognizant, Infosys, Tata, Wipro, HCL and Capgemini.