Vice President JD Vance announced on Thursday that Microsoft has been suspended from submitting applications for permanent residency on behalf of workers in the H-1B visa program. The US Labor Department simultaneously announced that Adobe faced the same restriction. The suspensions prevent both companies from filing new permanent labor certification applications or processing pending ones related to employment-based green cards.
Vance characterized the suspensions as a response to what the administration views as systematic abuse of the H-1B program, which allows employers to hire foreign workers for specialized positions while those workers pursue permanent residency. Vance stated that Microsoft had replaced laid-off American workers with H-1B visa holders, asserting that the company brought in “one and a half foreign indentured servants” for each American worker separated from the company. He also noted that H-1B workers earned approximately $20,000 less annually than American workers in comparable positions.
Microsoft and Adobe disputed the characterization of their hiring practices. Microsoft stated that the vast majority of its workforce consists of American citizens and noted that 80% of its H-1B applications in the preceding year involved extensions or status updates for existing employees. The company emphasized that it pays H-1B employees compensation comparable to other workers performing similar work and that its wages rank among the highest in H-1B filings across the industry. Labor Secretary Keith Sonderling reported that since 2009, Microsoft and Adobe combined had received roughly 230,000 H-1B visa approvals and 100,000 permanent labor certifications.
The suspensions reflect the Trump administration’s broader skepticism toward the H-1B program. Microsoft ranked as the fifth-largest employer of H-1B workers with nearly 3,700 applications in 2026, while Amazon led the sector with more than 9,300 petitions. Immigration advocacy organizations such as the National Immigration Forum have opposed restrictions on the program, arguing that access to international talent in fields including science, technology, engineering, and mathematics strengthens the US economy and helps American companies remain competitive globally.
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