Microsoft Loses Access to PERM Green Card Sponsorship Under Trump Administration

The Trump administration has suspended Microsoft, Adobe, and six IT services companies from the Labor Department's PERM program, which is typically the first step for employer-sponsored green cards. The suspension blocks new applications and halts pending ones, though it does not affect H-1B visas. Vice President JD Vance said Microsoft has abused the system, citing layoffs of American workers alongside its use of H-1B visas and green cards.
The administration's action covers eight employers: Microsoft, Adobe, and six IT services providers. It stops the Labor Department from accepting fresh PERM requests from them and from deciding applications already submitted. PERM is separate from H-1B status; it is the employer-sponsored step toward a green card, requiring proof that no qualified U.S. worker is available.
Microsoft has been the program's largest participant, with 3,161 PERM decisions in fiscal 2025. Vance alleged abuse, pointing to 6,000 U.S. layoffs alongside thousands of H-1B approvals and green cards. Federal figures show Microsoft ranked third in H-1B approvals that year, behind Amazon and Meta, which were not suspended. Microsoft said most of its U.S. staff are American.
The suspension could create prolonged uncertainty for foreign-born employees at the affected companies, especially those already in the PERM pipeline, who may remain dependent on temporary work status. It may also influence how these firms recruit and retain global talent, and could intensify broader debates over employer-sponsored immigration. U.S. workers seeking those roles might see changed hiring dynamics, though the full effects remain unclear.