US Suspends Microsoft, Adobe and Other Tech Firms From PERM Labor Certification Program
The Trump administration has suspended Microsoft, Adobe, Cognizant, Infosys and Tata from the Labor Department's PERM program, a key step for H-1B visa holders seeking green cards. The Labor Department is investigating whether the companies committed fraud and undercut American workers.
The Trump administration announced on Thursday that Microsoft, software company Adobe and IT services firms Cognizant, Infosys and Tata will no longer be allowed to take part in PERM. The program is the US Department of Labor's permanent labor certification system and a key step for foreign skilled workers on H-1B visas who want to obtain a green card, or permanent residency. Employers must show that no suitable American workers are available for the permanent position in question.
Labor Secretary Keith Sonderling said the department is investigating whether these companies committed fraud and undercut American workers by hiring foreign employees. Vice President JD Vance singled out Microsoft at a press conference, saying no company in the country had abused the system more.
Microsoft spokesperson Kaitlin Haskins said the company files H-1B petitions only for people who meet the visa category's rigorous standards. According to Microsoft, 80 percent of last year's visas were for extending or changing the status of existing employees. The remaining filings were for people already legally in the US who chose to join the company, and they equal only 1% of its US workforce. Adobe, Cognizant, Infosys and Tata did not immediately respond to a request for comment.
Background
Earlier this year, OpenAI and a company it acquired agreed to settle accusations from the administration over violations of program rules; Apple reached a similar deal in 2023. In fiscal year 2026 so far, Amazon, Tata and Infosys have the most H-1B visas approved. Microsoft ranks fifth with 3,688 approvals, compared with 6,258 in 2025.
The announcement came shortly before Trump was due to present Microsoft CEO Satya Nadella with the National Medal of Technology and Innovation. Vance said the administration will keep supporting Microsoft but will deny it the ability to apply for these permanent residencies until it shows it is serious about putting American workers first. It is unclear whether the suspension affects employees' ability to apply for H-1B visas themselves.
Vance also said nine universities are being investigated over possible fraud in the J-1 visa program, which lets international candidates study and conduct research in the US.
