"Foreigners Brought as Bonded Laborers": US Vice President JD Vance Slams Microsoft

In a dramatic escalation of immigration and labor policy enforcement, US Vice President JD Vance has launched a scathing attack against technology giant Microsoft, accusing the company of systemic H-1B visa abuse and replacing American employees with foreign workers. Announcing an immediate crackdown, the US government has officially suspended Microsoft's Permanent Labor Certification Program (PERM) privilege, sending shockwaves through the global tech and IT outsourcing sectors.

JD Vance Accuses Microsoft of Displacing American Workers

Addressing a high-stakes press conference focused on combating visa fraud, Vice President Vance did not mince words regarding corporate hiring practices in Silicon Valley:

• The Math of Layoffs vs. Visas: Pointing to recent corporate data, Vance noted that Microsoft laid off approximately 6,000 American employees last year while simultaneously acquiring 6,300 H-1B visas and nearly 3,000 green cards.

• The 'Bonded Laborer' Remark: Charging the tech giant with systemic exploitation, Vance stated: "In other words, if you do the math, for every employee Microsoft fired, it hired one and a half foreign forced laborers... We want you to grow and hire a lot of people, but we want you to hire American workers."

• Wage Disparities: Vance further claimed that H-1B visa holders and outsourcing personnel frequently earn substantially less than American citizens performing identical roles, depressing overall domestic wages.

Microsoft's Firm Denial and Clarification

In swift response to the sweeping allegations, Microsoft issued an official statement refuting the accusations of displacement and wage undercutting:

• Status Extensions, Not New Hires: The tech titan clarified that 80 percent of the 6,300 H-1B visa applications submitted during the last fiscal year were filed to extend or change the status of existing employees already on payroll, rather than bringing in new workers from abroad.

• Competitive Compensation: Defending its remuneration standards, Microsoft emphasized that it remains one of the highest-paying employers in the technology sector, ensuring equal pay for H-1B employees performing comparable duties.

Crackdown Spreads: 8 Major Tech and IT Firms Suspended

The punitive administrative action extends far beyond a single company. The US government has suspended eight major corporations from the PERM program, which enables employers to sponsor green cards and permanent residency for foreign technical staff:

• American Companies Impacted: Alongside Microsoft, US tech heavyweights Adobe and Capgemini have also faced immediate PERM program suspensions.

• Major Indian IT Firms Affected: The crackdown includes five prominent Indian IT service providers—Cognizant, Infosys, Tata Consultancy Services (TCS), Wipro, and HCL.

This sweeping policy shift is expected to significantly impact foreign professionals and engineers currently navigating the green card sponsorship pipeline in the United States.