Vice President Vance Addresses Technology Companies in Green Card Sponsorship Crackdown
On October 8, 2026, Vice President JD Vance announced a significant move regarding the PERM green card sponsorship program at a press conference held in the Eisenhower Executive Office Building. This announcement, part of the Trump administration’s initiative to combat foreign-worker visa misuse and protect domestic jobs, specifically mentioned that major tech firms, including Microsoft, would face suspensions from this program.
During the press conference, Vance was accompanied by key officials such as Attorney General Todd Blanche and Labor Secretary Keith Sonderling. They all discussed the administration’s strategy to address issues of system abuse, safeguard American wages, and prioritize the hiring of U.S. workers.
While the administration pointed to the widespread misuse of the H-1B visa system as a reason for the action, affected companies can still employ workers on these temporary visas. The U.S. Department of Labor, however, has paused both new and pending applications under the Program Electronic Review Management (PERM) system. As a result, firms like Microsoft will temporarily be unable to convert foreign employees into permanent U.S. green card holders.
“Here’s how the game typically plays out: Corporations will claim they’ve advertised for a position without any applicants,” Vance explained. “They then use this argument to replace American workers with foreign laborers who are, effectively, indentured servants. These individuals are not granted the same rights as American workers; instead, they’re subject to mistreatment and their presence is used to drive down wages for everyone else.”
Vance specifically highlighted Microsoft, noting that last year, the company laid off 6,000 American workers while simultaneously acquiring 6,300 H-1B visas and nearly 3,000 green cards.
“If you do the math, for every American worker Microsoft let go, they replaced that person with one and a half foreign laborers,” Vance stated. “This system is scandalous, and we’ve tolerated it for far too long.”
As a result of the PERM suspension, Microsoft can no longer file green card applications for its foreign employees on H-1B visas.
“Our message to Microsoft is simple: You’re a great American company, but you need to prioritize hiring American workers,” Vance emphasized.
He elaborated that H-1B visa holders often find themselves in a subordinate position within their companies. This power dynamic means that if they step out of line, they could face not only job loss but also deportation.
According to Vance, this framework effectively reduces the status of these workers compared to American citizens, who enjoy certain safeguards regardless of their employment circumstances.
“These individuals are not full citizens, which is why their earnings fall far below what an average American citizen makes,” Vance pointed out.
He further criticized global IT outsourcing firms, commonly referred to as “WITCH,” accusing them of contributing to visa fraud by placing foreign workers in American jobs.
“An H-1B worker typically earns around $20,000 less than an American citizen in the same role. If they come through an outsourcing firm, that gap widens to about $48,000,” he said.
Vance also addressed wage discrepancies between U.S. graduates and foreign researchers, revealing that a number of prestigious institutions, like Harvard and MIT, are under investigation for allegedly abusing the J-1 visa program. He pointed out that these universities often use J-1 visas to circumvent H-1B limits, with foreign workers making up 61% of federally funded research positions.
“This situation is a fundamental insult to American workers and the value they bring to the system,” Vance declared.
Stephen Miller, the White House Deputy Chief of Staff for Policy, shared additional insights, stating, “Since the launch of the fraud task force, the issues surrounding visa fraud have been more significant than we anticipated—an ongoing problem that has plagued us for years. Vice President Vance and his team have unveiled unprecedented amounts of fraud across various systems.”
Miller also emphasized the legal implications of abusing the H-1B and PERM programs, categorizing it as immigration fraud.
“The H-1B program is supposed to require specialized occupation skills, yet we often see workers being brought into the country for roles that don’t demand those unique qualifications, thereby displacing American workers who are doing similar jobs for far less pay,” Miller explained.
He reiterated that while the door remains open for talented foreign nationals, it’s crucial that American companies do not marginalize or replace domestic workers in the process.
“We cannot allow the ambitions of young Americans—those in middle and high school wanting their first job—to be undermined by this system. It’s unfair to career workers who have dedicated themselves, only to be let go to make room for cheaper labor,” he asserted, noting that for some foreign workers, earning half of an American salary can still constitute a pay increase back home.
