The Trump administration has expanded its crackdown on skilled-worker immigration, suspending green-card processing for Microsoft, Adobe and major IT services companies while launching investigations into 9 leading US universities over alleged visa misuse.
The US Labor Department said the suspension would cover Microsoft, Adobe, Cognizant, Infosys, Tata Consultancy Services (TCS), Wipro, HCL Technologies and Capgemini. “We will not accept any new or process any pending permanent labor certification applications involving these companies,” Labor Secretary Keith Sonderling said.
Vice President JD Vance accused Microsoft of abusing the system. “There has been no company in the United States, unfortunately, that has abused the system more than Microsoft,” he said, citing 6,000 US job cuts last year alongside 6,300 H-1B visa approvals and nearly 3,000 green cards.
Microsoft said around 80% of its H-1B applications in the last fiscal year were for existing employees seeking extensions or status changes. It also said H-1B workers receive the same pay as employees doing comparable work. The company announced 4,800 job cuts in July, around 2.1% of its global workforce.
Sonderling said the companies had sought nearly 3 million foreign workers since 2009 and received more than 230,000 H-1B visa approvals and over 100,000 permanent labor certifications. Vance said the suspension would continue “as long as it needs to,” calling for changes to hiring practices.
Nasscom said Indian technology companies had significantly reduced their dependence on H-1B visas, with relatively few workers seeking green cards through the PERM process. The action follows the Labor Department’s “Project Firewall” enforcement drive launched in September 2025 and a $100,000 fee on new H-1B petitions for workers hired from abroad.
Universities face investigations
Vance also announced investigations into Harvard, Yale, Stanford, Brown, the Massachusetts Institute of Technology and 4 other universities over alleged misuse of exchange-visitor visas. Labor Inspector General Anthony D’Esposito said subpoenas had been served. Investigators will examine whether foreign influence, improper financial ties or visa abuse affect federally funded research.
Sarah Spreitzer of the American Council on Education warned of wider economic consequences. “It could have an enormous economic impact on the whole US economy,” she said, noting that international students historically spent $40 billion annually in the US.
The probe adds to the administration’s dispute with Harvard. The university previously called a federal subpoena “unfounded retribution” but said it would comply as required by law. Changing visa policies have also contributed to a sharp fall in international applications to Columbia University and a pause in admissions to one journalism programme.
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