The U.S. government is suspending Microsoft, ​Adobe and several large IT firms from a ‌programme that allows skilled foreign workers ​to gain permanent residency, senior U.S. ⁠officials announced on Thursday (October 8, 2026), citing alleged fraud, and as part of an effort to push companies to ‌hire more Americans.

“Our message to Microsoft is: You’re a great American company, ‌but you’ve got to hire great ‌American ⁠workers,” U.S. Vice-President J.D. Vance ⁠said.

Secretary of Labour Keith Sonderling added that some of the largest IT firms in the world would also ​be suspended from ‌that programme, including Cognizant, Infosys, Tata, Wipro, HCL and Capgemini.

“We will not accept any new or process any pending permanent labour certification ‌applications involving these companies,” Mr. Sonderling said.

Microsoft did ​not immediately respond to a request for comment.

Under the Program Electronic Review Management (PERM) process, employers ⁠seek certification from the Department of Labour that there is no qualified, willing or available U.S. ‌worker for a specific job. It’s a step required before filing petitions for most employment-based green cards.

Mr. Vance also said nine universities, including Harvard, Yale and Stanford, would be investigated for allegedly bringing in international ‌students to undercut American wages. Labour Inspector General Anthony ​D’Esposito said subpoenas had already been served.

“We will investigate whether foreign influence, improper financial ⁠relationships, or visa abuse are compromising federally funded ⁠research,” Mr. D’Esposito said. “If an American university is breaking the law to save $1 ‌while exposing American research to a foreign adversary, that is not academic excellence. It’s institutional ​betrayal.”