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Business

Vance says the US is suspending permanent visa residency program for Microsoft

Business Insider ·
Vance says the US is suspending permanent visa residency program for Microsoft

Vance announced the visa changes at a press conference Thursday.

Alex Wong/Getty Images The Trump administration says it's suspending Microsoft and Adobe from a federal program used to sponsor foreign workers.

JD Vance accused Microsoft of abusing the Permanent Labor Certification Program, or PERM.

“If you do the math, for every worker that Microsoft laid off, they replaced that worker with one and a half foreign indentured servants,” the VP said.

The Trump administration is suspending Microsoft and Adobe from a federal program that companies use to sponsor foreign workers for permanent residency, Vice President JD Vance and Secretary of Labor Keith Sonderling said Thursday during a press conference.

Vance accused Microsoft of abusing the Permanent Labor Certification Program, or PERM.

The program is an initial step that employers generally must complete before sponsoring a worker for an employment-based green card, requiring them to show that no qualified and available US workers could fill the role.

“If you do the math, for every worker that Microsoft laid off, they replaced that worker with one and a half foreign indentured servants,” Vance said.

The announcement came just over a week after Microsoft CEO Satya Nadella sat two seats away from Vance at President Donald Trump's White House "Super Intelligence" luncheon, a gathering of tech executives focused on AI.

Business Insider has reached out to Microsoft and Adobe for comment.

Labor Secretary Keith Sonderling said the administration was also suspending Cognizant, Infosys, Tata, Wipro, HCL Technologies, and Capgemini from the program.

The IT companies are among the largest users of PERM and other employment-based immigration pathways in the US.

Vance also said the administration would investigate nine universities, including Harvard, Yale, and Stanford, over allegations that they used J-1 exchange visas to undercut American wages.

Labor Department Inspector General Anthony D'Esposito said subpoenas had already been served.

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