Archive · 10 Oct 2026
Microsoft Defends H-1B Filings After PERM Suspension
Microsoft says most of its H-1B visa applications were for people who already worked there.
It reported that about 80% of roughly 6,000 applications helped current employees extend or change their status.
The company said the other applications were for people already legally in the United States.
Microsoft also said most of its U.S. employees are Americans and that workers doing similar jobs receive similar pay.
Vice President JD Vance accused the company of replacing American workers with H-1B workers.
Microsoft rejected that claim.
The Labor Department paused Microsoft’s participation in a program called PERM.
PERM can be one step toward applying for a work-based green card, and officials cited active federal investigations.
Microsoft said about 80% of roughly 6,000 H-1B applications last fiscal year were to extend or change the status of existing employees.
It said remaining applications covered people already legally in the United States and represented about 1% of its U.S. workforce.
Microsoft said the vast majority of its U.S. employees are Americans and that H-1B workers receive comparable pay for comparable work.
Vice President JD Vance accused Microsoft of replacing 6,000 laid-off American workers with 6,300 H-1B workers; Microsoft disputed that characterization.
The Labor Department suspended Microsoft from accepting new or processing pending PERM labor-certification cases, citing multiple active federal investigations.
- Who
- Microsoft, Vice President JD Vance, and the U.S. Department of Labor.
- What
- Microsoft defended its H-1B filings after its participation in PERM labor-certification processing was suspended.
- When
- The reports were published October 9, 2026; Microsoft described applications from the previous fiscal year.
- Where
- The United States.
- Why
- The Labor Department cited multiple active federal investigations; Vance accused Microsoft of replacing American workers, while Microsoft disputed the allegation.
Microsoft's position
Administration's allegations
Purpose of H-1B filings
Microsoft's position
Microsoft said about 80% of its applications concerned existing employees and the remaining applications covered people already legally in the United States.
Administration's allegations
Vance accused Microsoft of replacing 6,000 laid-off American workers with 6,300 H-1B workers.
Effect on American workers
Microsoft's position
Microsoft said most of its U.S. employees are Americans and said it hires domestically while also recruiting skilled workers internationally.
Administration's allegations
The administration argued that foreign-worker programs should not displace American workers and cited investigations when announcing PERM suspensions.
Pay for H-1B employees
Microsoft's position
Microsoft said H-1B employees receive the same pay as colleagues doing comparable work.
Administration's allegations
The reports describe broader administration concerns about foreign-worker hiring but provide no specific administration response to Microsoft's pay claim.
- H-1B applications
- Microsoft said it submitted about 6,000 in the last fiscal year.
- Applications for existing staff
- About 80% were to extend or change the status of existing employees, according to Microsoft.
- Remaining applications
- Microsoft said they covered people already legally in the United States and amounted to about 1% of its U.S. workforce.
- PERM suspension
- The Labor Department said it would not accept new applications or process pending cases for affected companies.
- Reason cited
- Labor Secretary Keith Sonderling cited multiple active federal investigations.
- Vance's allegation
- Vance said Microsoft laid off 6,000 American workers and replaced them with 6,300 H-1B workers.
- Microsoft's pay statement
- The company said H-1B employees are paid the same as other employees doing comparable work.
- PERM's role
- PERM is a labor-certification step associated with some employment-based green-card applications.
Sources
Microsoft clarifies H-1B visa hiring as Trump administration suspends US green card processing
80 per cent H1-B applications for existing employees: Microsoft
Green Card Freeze: 5 Things Indian IT Employees Need To Know About Latest H-1B Visa, PERM Crackdown
Microsoft says ‘vast majority’ of US employees are Americans, defends H-1B hiring amid green card freeze
Microsoft Rejects Visa Fraud Claims, Says 80% Of H-1B Filings Were For Existing Staff
80 per cent H1-B applications for existing employees: Microsoft
80 per cent H1-B applications for existing employees: Microsoft
