REDMOND (dpa-AFX) - The U.S. Department of Labor has suspended Microsoft (MSFT) and Adobe from its Permanent Labor Certification programme amid federal investigations, while halting the processing of new applications from several other major technology and consulting companies.
Labor Secretary Keith Sonderling said the restrictions also affect Cognizant, Infosys, Capgemini, Tata, Wipro and HCL, as the Trump administration intensifies scrutiny of foreign hiring.
Vice President JD Vance criticised Microsoft over its 2025 layoffs, alleging the company replaced American workers with H-1B visa holders. Microsoft rejected the broader criticism, saying the vast majority of its U.S. employees are American.
The company added that 80 percent of approximately 6,000 H-1B visa applications submitted during the previous fiscal year were intended to extend or change the status of existing employees.
Sonderling said the affected companies had collectively requested millions of foreign workers since 2009. Microsoft maintained that its visa petitions met programme requirements and that its H-1B wages were among the highest reported.
The suspension announcement coincided with President Donald Trump's planned presentation of National Medals of Science to technology leaders, including Microsoft CEO Satya Nadella. Adobe had not publicly commented on the suspension.
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