U.S. Suspends Microsoft and Adobe from Green Card Labor Program Amid Foreign Worker Crackdown

Bearish (-0.7)Impact: High

Published on October 8, 2026 (2 hours ago) · By VibeTrader

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U.S. Suspends Microsoft and Adobe from Green Card Labor Program Amid Foreign Worker Crackdown

The U.S. Department of Labor has suspended Microsoft and Adobe from its Permanent Labor Certification program, a move announced by Labor Secretary Keith Sonderling as part of the Trump administration's intensified efforts to restrict immigration and foreign hiring ahead of the November midterm elections [1]. The suspension also affects other major technology and consulting firms, including Cognizant, Infosys, Capgemini, Tata, Wipro, and HCL, with the Labor Department halting acceptance and processing of new applications from these companies [1].

Secretary Sonderling cited 'multiple active federal investigations' as the reason for suspending Microsoft and Adobe from the program [1]. He highlighted that since 2009, these companies collectively requested nearly 3 million foreign workers, received over 230,000 H-1B visa approvals, and secured more than 100,000 permanent labor certifications, which he argued represented 'hundreds of thousands of jobs that were taken from American workers' [1].

Vice President JD Vance specifically criticized Microsoft, referencing the company's 6,000 layoffs in 2025 and alleging that those positions were subsequently filled by workers on H-1B visas [1]. Vance stated that while the administration intends to maintain a positive relationship with Microsoft, the company will be barred from applying for permanent residencies for foreign workers until it demonstrates a commitment to prioritizing American workers [1].

In a notable juxtaposition, President Donald Trump is scheduled to award the National Medal of Science to Microsoft CEO Satya Nadella and other technology leaders at the same summit where the suspension was announced. Nadella, originally from India, has been with Microsoft since 1992 [1].

CONCLUSION

The suspension of Microsoft and Adobe from the U.S. green card labor program marks a significant escalation in the Trump administration's crackdown on foreign hiring in the tech sector. With multiple companies under investigation and high-profile criticism from government officials, the move signals heightened regulatory scrutiny and potential operational challenges for affected firms.

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Sources: cnbc.com