US freezes Microsoft, Adobe, Infosys green-card applications over alleged fraud
AI generated
WASHINGTON -
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US → freeze → fraud
The Trump administration froze on Oct 8 some green-card filings by Microsoft, Adobe and major IT outsourcers and opened probes into nine top universities, widening a visa crackdown it says targets fraud and protects American jobs.
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it → freeze → jobs
The twin actions mark the broadest strike yet against skilled-worker immigration programmes – potentially cutting off a common path to permanent residency for foreign tech workers – while putting some of the country’s top research universities on notice.
“There has been no company in the United States, unfortunately, that has abused the system more than Microsoft,” Vice-President J.D. Vance said.
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Vance → mark → Microsoft
He said the company laid off 6,000 American workers in 2025 while benefiting from 6,300 H-1B temporary worker visas and nearly 3,000 green cards.
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company → say → visas
The announcement about the permanent labour certification process – PERM – came hours before Trump was due to give Microsoft chief executive officer Satya Nadella the National Medal of Technology and Innovation.
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Trump → come → Technology
Under PERM, required for most employment-based green cards, employers must show that hiring a foreign worker will not harm US workers’ wages or job opportunities.
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hiring → require → wages
Microsoft is the largest filer of PERM applications, according to data from the US labour department.
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Microsoft → accord → department
The company said in a statement that about 80% of the H-1B applications it filed in the last fiscal year were to extend or change the status of current employees, not to hire new workers.
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it → say → workers
In July, the company said it would cut 4,800 jobs, or about 2.1% of its global workforce.
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it → say → workforce
Labour Secretary Keith Sonderling said the suspension would also cover Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies and Capgemini.
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suspension → say → Cognizant
“We will not accept any new or process any pending permanent labour certification applications involving these companies,” Sonderling said.
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Sonderling → accept → companies
He said these companies had since 2009 sought almost three million foreign workers, and had received over 230,000 H-1B visa approvals and over 100,000 permanent labour certifications.
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companies → say → approvals
Amazon.com was the largest employer of approved H-1B beneficiaries in fiscal 2026, followed by Tata Consultancy Services, Infosys, Apple and Microsoft, according to US immigration data.
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Amazon.com → approve → data
Vance said the suspensions would last “as long as it needs to,” adding that the administration wants the companies to change how they hire.
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they → say → ?
He said some companies post ineffective job ads, then cite a lack of applicants to justify hiring lower-paid foreign workers.
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companies → say → workers
Microsoft said in its statement that it pays its H-1B employees the same as any other employees doing comparable work.
“The immediate financial impact on major technology companies may be relatively limited at this moment, but the longer-term implications for innovation and competitiveness could be much more significant,” said Ken Mahoney, CEO of Mahoney Asset Management.
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Mahoney → say → Management
Adobe, Cognizant, Infosys, HCL Technologies, Wipro and Capgemini did not immediately respond to requests for comment.
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Adobe → respond → comment
Tata Consultancy Services declined to comment.
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Services → decline → ?
Nasscom, India’s IT industry body, said Indian tech companies in the US had significantly reduced their reliance on H-1B visas, and relatively few of their workers sought green cards through the PERM process.
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few → say → process
Crackdown widens
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Crackdown → widen → ?
In September 2025, the Labour Department launched an enforcement drive called “Project Firewall” as a White House proclamation imposed a one-time US$100,000 (S$128,000) fee on new H-1B petitions for workers hired from abroad.
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proclamation → launch → workers
During President Donald Trump’s second term, companies have faced growing pressure to keep jobs and production in the United States rather than move them overseas.
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companies → face → them
The action comes despite closer ties between the administration and tech leaders, who are lobbying for lighter AI regulation.
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who → come → regulation
Universities under scrutiny
Vance also said nine universities, including Harvard, Yale and Stanford, would be investigated for what the administration called the misuse of exchange-visitor visas to undercut American wages.
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administration → say → wages
The nine schools also include Brown and the Massachusetts Institute of Technology.
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schools → include → Technology
Labour Inspector-General Anthony D’Esposito said subpoenas had already been served.
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subpoenas → say → ?
D’Esposito said investigators would examine whether foreign influence, improper financial relationships or visa abuse were compromising federally funded research.
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influence → say → research
“It could have an enormous economic impact on the whole US economy,” said Sarah Spreitzer, a vice-president at the American Council on Education, which represents college and university presidents.
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which → have → presidents
International students historically spent US$40 billion a year while in the US, she said.
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she → spend → US
The probe deepens the administration’s long-running fight with Harvard over foreign students.
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probe → deepen → students
In 2025, the Department of Homeland Security subpoenaed the university over alleged misconduct by international students and its compliance with immigration law.
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Department → subpoena → law
Harvard called that subpoena “unfounded retribution” but said it would comply as far as the law requires.
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law → call → subpoena