US Pauses a Green-Card Step for Workers at 8 Tech Companies

The U.S. government has paused a green-card step for Microsoft, Adobe and six other tech employers. That step is what workers on H-1B skilled-worker visas need to apply to stay permanently. Engadget
Vice President JD Vance announced the pause. He said the companies misused programs that let H-1B workers seek permanent residency. The news was reported on Oct. 8, 2026.
Labor Secretary Keith Sonderling put it plainly: "We will not accept any new or process any pending permanent labor certification applications involving these companies." New requests stop. Waiting requests stop too.
The dispute is about hiring at home. Vance said the companies did not advertise jobs fairly in the U.S. and hired from abroad instead of hiring Americans. The paused program normally requires companies to show no qualified American workers are available.
Besides Microsoft and Adobe, six IT services firms are named. They are Cognizant, Infosys, Tata Consultancy Services, Wipro, HCL Technologies and Capgemini. Engadget
Microsoft shared staffing numbers. It said most of its U.S. workers are Americans. Microsoft It filed about 6,000 H-1B requests in the last fiscal year. It said 80 percent were to keep or update the status of current workers, not to bring in new hires.
Schools are also affected. The government said it will look into nine universities, including Harvard University, Yale University and Stanford University, over alleged misuse of J-1 visas. J-1 visas are for exchange visitors. They are different from H-1B work visas and often cover researchers and teachers.
A separate court fight continues. A second federal judge stopped President Donald Trump's $100,000 fee on new H-1B visas. Reuters The ruling was reported Sept. 30, 2026. Two court orders now pause the fee while the cases move forward.
This follows statements from September. In September 2026, the White House said many government departments and agencies had reported large-scale, systematic abuse of the H-1B program by employers. White House Separately, the Labor Department's Wage and Hour Division keeps a public list of employers who willfully broke H-1B rules. Department of Labor
The broader context here is simple. The pause does not cancel current H-1B visas. It breaks the bridge from a temporary job to a permanent green card for workers at the named companies. Workers keep their place in line, but the line does not move. Companies also lose a tool for keeping staff. It is smaller than a visa ban. For workers who have waited years, planning gets hard right away.
In my view, tech leaders should see this as a paperwork and hiring risk, not just punishment for a few firms. The list includes both software makers and large service firms, but the rule is the same. Companies must keep clear records of job ads, fair pay and hiring steps. If job ads are the test, lawyers and hiring teams will need to show proof. Closer checks of postings and hiring dates are likely.
Looking at what this means day to day, the changes are practical. Managers with waiting cases face delays. Workers who want to change jobs face questions. Universities face questions about researcher programs. None of this stops tech work on its own. U.S. tech has adjusted to tighter immigration rules before by making hiring steps clearer. The hopeful result would be plain rules that fair employers can follow and that workers can understand.


