Microsoft Can't Sponsor Green Cards for Now — Here's What Happened
The Trump administration is blocking Microsoft from the program that lets employers sponsor foreign workers to live permanently in the United States. The block also covers Adobe, Cognizant and Infosys. The Verge
The program is called PERM. Yahoo Finance The Labor Department will not take new applications from these companies. It will also not process applications that are still waiting. TechCrunch
Think of PERM as the first form in a long line of paperwork for a green card. This freeze stops that first step. It does not change the whole green card system.
Vice President JD Vance claimed the program has had a lot of fraud in recent years. He also claimed Microsoft has misused it more than any other company. Other administration officials also accused Microsoft and other large tech firms of fraud and abuse. New York Post
Labor Secretary Keith Sonderling pointed to past filing numbers. He claimed Microsoft and Adobe asked for almost 3 million foreign workers. He also claimed the two companies received over 230,000 H-1B approvals and over 100,000 labor certifications. These are administration claims, not independent findings.
Vance also compared layoffs and visas at Microsoft. He said Microsoft laid off 6,000 American workers last year. He said it also benefited from 6,300 H-1B visas and almost 3,000 green cards. These comments were reported on Oct. 8, 2026, and link the block to wider criticism of how big tech companies use work visas.
H-1B and PERM are different. H-1B lets skilled people work in the United States for a limited time. PERM is an earlier check of the job market before most work-based green cards. This freeze does not cancel current visas or green cards that are already approved. It stops new sponsorships and pauses cases that are still in process while the block lasts.
The broader picture for companies is about planning future hiring. PERM cases already take a long time and need careful records on recruiting, pay levels and possible audits. Company lawyers must now review waiting cases, explain delays to workers, and plan where future cases can be filed. In teams that mix U.S. citizens, H-1B holders and people seeking green cards, this can lead to different outcomes on the same team.
In my view, the approach is pointed. The administration did not rewrite the rules for everyone. It blocked specific large filers to press its fraud claim. The program stays in place, but pressure falls on a few companies. Other large employers will likely check their own paperwork more closely.
Looking further ahead, companies will still need to hire skilled people from abroad because those skills are hard to find. The process will be less certain, though. Employers that keep clear records and do not depend on one visa type should handle such changes more easily.
