Archive · 9 Oct 2026
Vance Defends Tech Green-Card Freeze as Jayapal Warns
The US government has paused a process that companies use to help some workers get permanent residency through their jobs.
Eight technology companies, including Microsoft and Adobe, are affected while federal investigations are active.
The Labor Department says it will stop accepting new applications involving these companies and pause applications already being processed.
Vice President JD Vance says some companies use foreign-worker programs in ways that can hurt American workers and wages.
Representative Pramila Jayapal says the pause makes legal immigration harder and could weaken innovation.
She says the PERM process has safeguards meant to protect US workers.
Microsoft denies using H-1B workers to push down pay and says many of its recent applications were for current employees.
Nasscom says Indian technology companies have hired more workers locally in the United States and rely less on H-1B visas than before.
The disagreement is about how to protect workers while keeping legal routes open for skilled immigrants.
The Labor Department suspended Microsoft, Adobe and six IT services companies from the PERM process amid active federal investigations.
The department said it would halt new applications involving the companies and pause processing pending applications while the action remains in force.
Vice President JD Vance defended the move, alleging that some employers use foreign-worker programs to undercut American wages and jobs.
Representative Pramila Jayapal said the suspension weakens legal immigration and could harm US innovation; she argued PERM includes worker-protection safeguards.
Microsoft disputed wage-cutting allegations, and Nasscom said Indian technology companies have reduced H-1B dependence and expanded local US hiring.
- Who
- The Trump administration, including Vice President JD Vance and Labor Secretary Keith Sonderling; Representative Pramila Jayapal; and eight technology companies.
- What
- The Labor Department suspended eight companies from the Permanent Labor Certification process, prompting a dispute over wages, legal immigration and innovation.
- When
- The suspension and Vance-Jayapal exchange were reported in the articles; one article dates Vance's response to Friday, October 8.
- Where
- The United States.
- Why
- The administration says the action responds to alleged abuse of employment-based immigration programs and protects American jobs and wages; critics say it restricts legal immigration and risks innovation.
Administration and policy supporters
Critics and company responses
Protecting American workers
Administration and policy supporters
Vance and the administration allege that some employers use foreign-worker programs to undercut US wages and replace American workers.
Critics and company responses
Microsoft rejects the wage-suppression allegation, saying H-1B employees receive the same pay as comparable employees and most of its recent applications concerned existing workers.
Effects of suspending PERM access
Administration and policy supporters
The administration presents the suspensions as a response to alleged program abuse and active federal investigations.
Critics and company responses
Jayapal says the action attacks legal immigration and could weaken US innovation; she argues that PERM has safeguards meant to protect American workers.
Skilled-worker mobility
Administration and policy supporters
Vance has described some H-1B arrangements as bringing in “indentured servants” while American workers are laid off.
Critics and company responses
Nasscom says immigration and skilled-talent mobility are distinct issues, and that Indian technology companies have reduced H-1B reliance while increasing local US hiring.
- Companies affected
- Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services, Wipro, HCLTech and Capgemini.
- Program
- PERM is a labor-certification step used in the employment-based green-card process.
- Department action
- The Labor Department said it would not accept new applications involving the companies or process pending applications while the suspension remains in force.
- Investigations
- The suspensions were attributed to multiple active federal investigations.
- Labor Department figures
- Keith Sonderling said the companies had requested nearly 3 million foreign workers since 2009, received more than 230,000 H-1B approvals and over 100,000 permanent labor certifications.
- Microsoft's response
- Microsoft said about 80% of roughly 6,000 H-1B applications it filed in the previous fiscal year were extensions or status changes for existing employees.
- Nasscom's position
- Nasscom said Indian technology companies have reduced H-1B dependence, expanded local US recruitment and operate in more than 80 countries.
Sources
‘Never-ending flow of cheap labour’: JD Vance hits back at Indian-origin Congresswoman over US green card curbs for major tech companies
‘Never-ending flow of cheap labour’: JD Vance hits back at Pramila Jayapal over tech green-card freeze
