Company-by-Company Analysis
The simultaneous layoff-and-hire pattern is consistent across all five companies. In each case, corporate and technical roles were eliminated while H-1B petitions continued for the same job categories.
Google (Alphabet)
Layoffs (2022-2025)
~15,000+
FY2025 H-1B Approvals
5,552[1]
- •Jan 2023: 12,000 employees laid off (6% of workforce). CEO Sundar Pichai cited "different economic reality" and need to "sharpen focus."[5]
- •Jan 2024: Additional 1,000+ cut from hardware (Pixel, Nest), Google Assistant, and ad sales teams.[5]
- •2025: Continued cuts in Platforms and Devices, estimated 1,000+ positions.[5]
Job category overlap: Layoffs hit engineering, hardware, and core product teams. H-1B positions are overwhelmingly Software Engineer, AI/ML Engineer, and Cloud Engineer roles - directly overlapping with eliminated positions.
Microsoft
Layoffs (2022-2025)
~20,000+
FY2025 H-1B Approvals
6,258[1]
- •Jan 2023: 10,000 laid off across engineering, consulting, and HR. CEO Satya Nadella described "aligning cost structure with revenue."[6]
- •Jan 2024: 1,900 cut from gaming division following Activision Blizzard acquisition.[6]
- •Jun-Sep 2024: Additional 1,650+ across Azure cloud and gaming.[6]
- •2025: ~7,900 cut, including 6,000 in May targeting management layers and underperformance.[6]
Job category overlap: Layoffs targeted cloud engineering, gaming development, and management. H-1B roles include Software Engineer, Cloud Developer, Data Scientist, and Program Manager - substantial overlap with eliminated positions.
Meta (Facebook)
Layoffs (2022-2025)
~25,000+
FY2025 H-1B Approvals
6,294[1]
- •Nov 2022: 11,000 laid off - 13% of workforce. The largest layoff in Meta history. CEO Mark Zuckerberg called it "one of the hardest changes."[7]
- •Mar 2023: 10,000 more cut in what Zuckerberg called the "Year of Efficiency." Engineering roles specifically targeted.[7]
- •Apr 2024: 4,000+ additional cuts across Reality Labs, Instagram, and WhatsApp teams.[7]
Job category overlap: Layoffs hit engineering, product management, and Reality Labs (VR/AR). H-1B positions are Software Engineer, Research Scientist, Production Engineer, and ML Engineer - directly overlapping categories.
Salesforce
Layoffs (2022-2025)
~14,000+
FY2025 H-1B Approvals
1,539[1]
- •Jan 2023: 7,000+ laid off (10% of workforce). CEO Marc Benioff said the company "hired too many people" during the pandemic boom.[8]
- •2024: 700+ additional cuts across sales and engineering. Restructuring around AI (Einstein GPT).[8]
- •Feb 2025: ~1,000 more from sales roles and Slack integration teams.[8]
Job category overlap: Layoffs targeted engineering, sales, and support. H-1B roles include Software Engineer, Member of Technical Staff, and Technical Architect - moderate overlap, particularly in engineering positions.
Cisco
Layoffs (2022-2025)
~16,000+
FY2025 H-1B Approvals
1,990[1]
- •Nov 2023: ~4,000 cut from security and collaboration divisions.[9]
- •Feb 2024: ~4,000 more as CEO Chuck Robbins announced a "strategic shift toward AI and cybersecurity."[9]
- •Aug 2024: 5,600 additional (7% of workforce). Third major round in under a year.[9]
Job category overlap: Layoffs hit engineering, cloud, security, and collaboration products. H-1B positions include Software Engineer, Hardware Engineer, Network Engineer, and Cloud Developer - high overlap with eliminated divisions.
The Job Category Question
Companies routinely argue that layoffs and H-1B hiring affect "different roles" or "different divisions." The data tells a different story. When layoff announcements and H-1B Labor Condition Applications are compared side by side, the overlap in job categories is substantial.
| Company | Divisions Laid Off | H-1B Job Titles Filed | Overlap |
|---|---|---|---|
| Engineering, hardware, Google Assistant, ad sales, core teams | Software Engineer, Systems Engineer, AI/ML Engineer, Cloud Engineer | High | |
| Microsoft | Cloud (Azure), gaming, engineering, management layers | Software Engineer, Cloud Developer, Data Scientist, Program Manager | High |
| Meta | Engineering, product, Reality Labs, Instagram, WhatsApp | Software Engineer, Research Scientist, Production Engineer, ML Engineer | High |
| Salesforce | Engineering, sales, support, Slack integration teams | Software Engineer, Member of Technical Staff, Technical Architect | Moderate |
| Cisco | Engineering, cloud, security, collaboration products | Software Engineer, Hardware Engineer, Network Engineer, Cloud Developer | High |
Sources: Company announcements, WARN Act notices[2]; DOL Foreign Labor Certification data[10]; USCIS H-1B Employer Data Hub[1]
Key Finding
In all five companies, the primary H-1B job title - Software Engineer - is also the single most common role affected by layoffs. Companies are simultaneously eliminating software engineering positions and filing H-1B petitions for software engineering positions. The "different roles" argument does not withstand scrutiny.
Layoff Timeline: 2022-2025
The scale and persistence of layoffs across the tech industry undermines the claim of genuine talent shortages. These are not one-time corrections - they represent a sustained, multi-year pattern of workforce reduction.
| Date | Company | Layoffs | Detail |
|---|---|---|---|
| Nov 2022 | Meta | 11,000 | First mass layoff in company history |
| Jan 2023 | 12,000 | 6% of global workforce | |
| Jan 2023 | Microsoft | 10,000 | Nearly 5% of workforce |
| Jan 2023 | Salesforce | 7,000+ | 10% of workforce |
| Mar 2023 | Meta | 10,000 | Second round, engineering-heavy |
| Nov 2023 | Cisco | ~4,000 | Security and collaboration teams |
| Jan 2024 | ~1,000+ | Hardware, Assistant, ad sales | |
| Jan 2024 | Microsoft | 1,900 | Gaming division (Activision) |
| Feb 2024 | Cisco | ~4,000 | Shift to AI and cybersecurity |
| Apr 2024 | Meta | ~4,000+ | Reality Labs, Instagram, WhatsApp |
| Jun 2024 | Microsoft | ~1,000 | Azure cloud division |
| Aug 2024 | Cisco | ~5,600 | 7% of workforce |
| Sep 2024 | Salesforce | ~700 | Continued restructuring |
| Sep 2024 | Microsoft | ~650 | Gaming (PlayStation, Xbox) |
| Jan 2025 | Microsoft | ~1,900 | Underperformance-based cuts |
| Jan 2025 | ~1,000+ | Platforms, devices teams | |
| Feb 2025 | Salesforce | ~1,000 | Sales roles, Slack integration |
| May 2025 | Microsoft | ~6,000 | Management layers reduced |
Sources: Company announcements, SEC filings, WARN Act notices[2][5][6][7][8][9]
The Industry-Wide Pattern
The Economic Policy Institute documented this pattern across the broader H-1B employer landscape. In 2022, the top 30 H-1B employers collectively:[4]
85,000+
Employees laid off
34,000
New H-1B workers hired
Of those top 30 employers, 13 are outsourcing firms - companies whose primary business model is providing lower-cost foreign labor to other companies.[4]
Important Caveat: Renewals vs. New Hires
Approximately 65% of annual H-1B approvals are renewals or extensions for workers already in the U.S., not new hires.[1] The FY2025 approval figures cited here include both new and continuing employment. However, even accounting for renewals, companies are maintaining a large H-1B workforce while simultaneously reducing their domestic headcount. H-1B workers were also affected by some layoffs and face a 60-day grace period to find a new sponsor or leave the country.
Congressional Response: Grassley-Durbin Inquiry
The pattern has drawn bipartisan scrutiny. Senators Chuck Grassley (R-Iowa) and Dick Durbin (D-Illinois) - ranking members of the Senate Judiciary Committee - sent letters to 10 major companies demanding answers about their simultaneous layoff and H-1B hiring practices.[3]
The targeted companies include both tech giants and outsourcing firms:
Tech Companies
- Amazon
- Apple
- Google (Alphabet)
- Meta
- Microsoft
Outsourcing / Other
- Cognizant
- Tata Consultancy Services
- Deloitte
- JPMorgan Chase
- Walmart
“We write to express our concern that the H-1B and L-1 visa programs may be facilitating the outsourcing of American jobs... Companies appear to be laying off qualified American workers and replacing them with foreign workers, often at lower wages.”
- Senators Grassley and Durbin, Senate Judiciary Committee letter[3]
The Wage Differential: Why Companies Prefer H-1B
The economic incentive behind this pattern is straightforward. Department of Labor data shows that 60% of H-1B positions are certified at Level 1 or Level 2 wages - below the median for the occupation and location.[4][10]
H-1B Wage Level Distribution (Industry-Wide)
60% of H-1B positions are certified at Level 1 or Level 2 - meaning below the median wage for the occupation and location. Level 1 corresponds to the 17th percentile; Level 2 to the 34th percentile.
Source: DOL Foreign Labor Certification Performance Data[10]; EPI analysis[4]
Three structural factors create the wage incentive:
- •Below-market prevailing wages: The DOL sets "prevailing wages" using outdated methodology that systematically undervalues market rates. EPI research shows H-1B workers earn 17-34% less than comparable American workers.[4]
- •Employer-tied status: H-1B workers are dependent on their sponsoring employer for legal status. This dramatically reduces their bargaining power - they cannot freely change jobs, negotiate raises, or push back on working conditions without risking deportation.
- •Green Card backlog as leverage: With employment-based Green Card wait times exceeding 10 years for some nationalities, H-1B workers remain in employer-dependent status for extended periods. This creates a workforce that is structurally unable to demand market wages.
Note: Fiscal Year vs. Calendar Year
USCIS fiscal years run from October to September (e.g., FY2025 = October 2024 through September 2025). Layoff figures are reported by calendar year. This creates an inherent mismatch when comparing the two data sets. However, the multi-year pattern - sustained H-1B hiring during sustained layoffs - holds regardless of how the periods are aligned.
Policy Response: End H-1B, Restore H-1
The Affordability and Immigration Act of 2026 proposes ending the current H-1B program and restoring the original H-1 visa requirements. The reforms directly address the structural incentives that enable the layoff-and-hire pattern:
- •Direct employment only - Eliminates staffing agencies and outsourcing firms. 13 of the top 30 H-1B employers are outsourcing companies.[4]
- •Market-rate wages required - Eliminates the cost incentive by requiring compensation at or above the 50th percentile for the occupation and location.
- •Genuine specialty occupations - Restricts visas to positions requiring specialized expertise, not routine software development roles filled at entry-level wages.
- •Demonstrated need - Employers must prove they cannot find American workers at market wages before hiring foreign workers.
Transition rules protect current H-1B holders: All current H-1B holders retain work authorization during transition. No one loses status immediately.
- •5+ years in the U.S.: Must convert to H-1 visa or Green Card within 5 years. Workers directly employed at market-rate wages are eligible immediately. Green Card priority processing.
- •Under 5 years: Current H-1B honored through end of approved period. May apply for H-1 under new requirements. 180-day grace period if not qualifying.
- •Staffing firm employees: Must transition to direct employment within 2 years regardless of tenure.
Under these requirements, the layoff-and-hire pattern documented in this analysis would not be possible. Companies could not lay off American software engineers while simultaneously hiring H-1B software engineers at below-market wages through outsourcing firms.
Related Analysis
- Amazon H-1B Analysis: 72,000 Visa Approvals During Period of 58,000 Layoffs - Deep dive into the company that exemplifies the pattern
- H-1B Program Fraud: How a Temporary Worker Visa Became Permanent Cheap Labor - How the program deviated from Congressional intent
- The H-1B Is Obsolete: Why the AI Era Demands a Return to the Original H-1 Standard - Why AI makes mass visa programs unnecessary