Vance Targets Microsoft, Cognizant, TCS, Wipro in H-1B Crackdown

NewsData.io · United States · Oct 9, 2026

Vice President JD Vance has accused Microsoft and major IT outsourcing firms — including Cognizant, Infosys, Tata, Wipro, and Capgemini — of exploiting the H-1B visa program to hire foreign workers at lower wages while laying off American employees. Vance alleged Microsoft laid off 6,000 U.S. workers while simultaneously receiving approvals for more than 6,000 H-1B visas and filing nearly 1,000 PERM applications for roles matching eliminated positions. Labor Secretary Keith Sonderling confirmed suspensions from green card sponsorship programs and announced subpoenas as part of broader DOL investigations into these firms and nine universities. Staffing and recruiting firms that place H-1B workers or file PERM applications on behalf of clients should anticipate heightened compliance scrutiny, potential processing delays, and increased client demand for domestic-talent alternatives.