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U.S. Leaders Challenge Microsoft Over Layoffs and H-1B Visa Use

President Trump’s administration is urging a revamp of H-1B rules to prioritize American hires in response to Microsoft’s recent visa filings alongside workforce reductions.

Overview

  • Vice President JD Vance accused Microsoft of presenting “a bullshit story” by laying off 9,000 American employees then pursuing thousands of H-1B visa applications.
  • The White House announced plans to overhaul the H-1B selection process to boost transparency and ensure domestic workers receive hiring priority.
  • Microsoft CEO Satya Nadella issued an internal memo asserting that overall headcount remains “relatively unchanged” despite successive rounds of job cuts.
  • A tech investor fact-checked administration claims by highlighting that most of Microsoft’s recent visa petitions were renewals for existing staff, not new foreign hires.
  • Heightened scrutiny of corporate visa use has prompted Indian tech professionals to reconsider U.S. opportunities amid policy uncertainty.