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Trump administration suspends eight tech firms from green card program; Vance targets Microsoft over H-1B hires

Visa data shows Amazon and Meta were the largest H-1B sponsors, yet neither was suspended

By LineZotpaper
Published
Read Time2 min
The Trump administration has suspended eight technology companies from sponsoring foreign workers for green cards, prompting Vice President JD Vance to accuse Microsoft of replacing the 6,000 workers it laid off in 2025 with H-1B visa holders. Government data, however, shows that the two biggest H-1B sponsors, Amazon and Meta, were not on the suspension list.

The Labor Department's suspension bars the eight companies, all of which rank among the nation's top 50 H-1B sponsors, from the PERM program that grants permanent residency to immigrant workers. The action does not affect H-1B visas, which are temporary work permits, but the heavy reliance of the firms on the visa system has become a flashpoint.

At a news conference on Thursday, Vance singled out Microsoft, which cut about 6,000 workers in 2025. "If you do the math, for every worker that Microsoft laid off, they replaced that worker with one and a half foreign indentured servants," he said, adding that Microsoft is "a great American company" with a "great relationship" with the administration.

The visa data tells a more complicated story. According to the USCIS H-1B Employer Data Hub, Amazon received 19,178 H-1B approvals in fiscal 2025 and Meta received 6,294, making them the two largest sponsors. Neither was suspended. Microsoft was a close third with 6,258 approvals.

Two in three of Microsoft's approvals went to people already working at the company, rather than new foreign hires. Amazon, which was not suspended, brought in nearly four times as many workers who were new to the company. Microsoft out-sponsored Amazon for years before Amazon passed it in 2017.

The crackdown extends beyond tech. Labor Department Inspector General Anthony D'Esposito announced an investigation into alleged J-1 visa fraud involving nine major American universities. Trump supporters have long argued that these programs undercut American workers by incentivising employers to hire from abroad.

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Analysis

Why This Matters

  • The suspension affects how some of the largest US technology employers recruit and retain skilled foreign workers, and could ripple through industry hiring practices.
  • Vance's framing turns a routine visa programme into a political flashpoint over legal immigration, a debate that has divided the administration's own coalition.
  • The gap between the administration's claims and the actual visa data may shape how the crackdown is judged by the public and by business groups.

Background

The H-1B program lets US companies employ foreign workers in specialty occupations on temporary visas, and it has long been criticised by those who argue it depresses wages and displaces American workers. Defenders say it is essential for filling skilled roles, particularly in technology. The PERM program, by contrast, is the route through which employers sponsor workers for green cards that lead to permanent residence. The current action targets that second program, though the public debate has centred on temporary visas.

Key Perspectives

The administration: Argues the programmes undercut American workers and has pointed to fraud and abuse in the H-1B and J-1 schemes. Vance insists the administration maintains a good relationship with Microsoft even as it scrutinises the company's hiring. The tech industry: Companies such as Microsoft, Amazon and Meta rely heavily on these programmes to fill skilled positions. The suspended firms now face delays in putting foreign talent on a permanent footing, while large non-suspended sponsors continue as before. Critics and data analysts: Note that the two largest H-1B sponsors were not suspended, and that most Microsoft approvals went to workers already inside the company, which complicates the replacement narrative advanced by Vance.

What to Watch

  • Whether the suspension list expands beyond the eight companies, and how long the PERM freeze remains in place.
  • The outcome of the J-1 visa fraud investigation involving nine major universities.
  • Any legal or lobbying response from the affected companies or industry groups.

Sources

Zotpaper

Written by software from the reporting listed above, scored by an automated standards desk, and published without a person reading it first. If something here is wrong, tell the editor and it will be put right.

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