Vice President Vance announced on Thursday that foreign workers at Microsoft will no longer be able to apply for permanent resident status in the U.S. through an employer-based program. Vance accused Microsoft of misusing the process.
The tech giant is now suspended from the permanent labor certification program, known as PERM. This program permits companies to hire foreign workers for permanent positions in the U.S.
“There has been no company in the United States, unfortunately, that has abused this system more than Microsoft,” Vance said at a press conference.
He stated clearly that the administration wants Microsoft and other corporations to succeed in the U.S., emphasizing the importance of investing in and boosting American industry. He said they expect these companies to employ American workers.
Vance accused Microsoft of taking significant advantage of both the PERM program and the H-1B visa program last year. This came as thousands of American workers were being laid off. The H-1B visa is intended for hiring international talent for specialized roles.
Microsoft responded by explaining that the majority of its U.S. workforce comprises American citizens. They added that 80 percent of their H-1B applications last year aimed to extend or modify the status of existing employees. The rest involved individuals already legally residing in the U.S.
A spokesperson from Microsoft noted their commitment to employing those meeting the demanding criteria for H-1B visas. They highlighted their high compensation packages in the tech sector and equal pay conditions for all employees doing similar work.
Labor Secretary Keith Sonderling addressed that other IT firms, including Adobe, Cognizant, and Infosys, also faced suspension from the PERM program.
In related notes, recent technology sector news outlined policy impacts. Notably, former President Trump recognized Elon Musk with the National Medal of Science. This reflects the ongoing relationships and shifts in tech and policy dynamics.

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