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US suspends permanent residency program for Microsoft, Adobe and other tech companies

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US suspends permanent residency program for Microsoft, Adobe and other tech companies

Seven companies have been accused of fraud regarding the H-1B worker visas.

The US government has suspended several tech companies' access to an H-1B visa program for skilled international workers. Microsoft and Adobe are the two biggest tech brands targeted in today's announcement. The other five businesses that have seen their programs frozen are Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies and Capgemini. "We will not accept any new or process any pending permanent labor certification applications involving these companies," Labor Secretary Keith Sonderling said.

The announcement by Vice President JD Vance claimed that the targeted businesses had abused federal programs that allow workers on H-1B visas to apply for green cards. He alleged that the companies have intentionally under-advertised jobs domestically in order to seek out international employees rather than hiring American citizens and particularly called out Microsoft as a reported offender.

"They will use that lack of response to then go and replace American workers with what is effectively foreign indentured servants," Vance said. "There has been no company in the United States, unfortunately, that has used this system more than Microsoft."

Reuters reported that according to statistics from the US Citizenship and Immigration Services department, Amazon is the top employer of H-1B visa recipients, followed by Tata Consultancy Services, Infosys, Apple and Microsoft.

" It continued, "We look forward to providing the Administration with additional information. For example, of the approximately 6,000 H-1B visa applications we submitted in the last fiscal year, 80 percent were to extend or change the status of existing Microsoft employees.


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