Microsoft defends Xbox CEO Asha Sharma amid accusations of replacing Americans with H-1B workers

Microsoft has publicly defended Xbox CEO Asha Sharma amidst a wave of online criticism following the announcement of 3,200 layoffs. The company's communications lead, Frank X Shaw, pushed back against accusations that the job cuts were intended to replace American workers with foreign labor, particularly those on H-1B visas.

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Recent workforce changes were made to restructure the XBOX business because it is not healthy. They were not made to replace employees with foreign workers.

Shaw clarified that the workforce changes were necessary for restructuring the Xbox business, which he described as "not healthy." He emphasized that the H-1B visa numbers referenced in online discussions were company-wide and not specific to Xbox, constituting a small fraction of Microsoft's overall employee base. Furthermore, he stated that the majority of affected roles were not American positions.

Microsoft highlighted Xbox's position as the largest employer of American workers in the gaming industry and the biggest American gaming company. Shaw also asserted that Sharma is an "American born, raised, and educated CEO, from Wisconsin," countering claims that she was an "Indian woman" appointed to a role without experience.

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The H-1B figures being referenced are Microsoft-wide visa renewals and new hire applications. They are not specific to XBOX and represent a small percentage of Microsoft's overall workforce. And the majority of roles impacted were not American roles.

The controversy gained traction with a MAGA narrative alleging that "foreigners are hijacking American jobs." One widely shared post claimed Sharma had fired 3,200 Americans and applied for 5,000 H-1B visas. Online comments further fueled the narrative, with one user stating, "Indians follow the same pattern everywhere they go, fire American, hire Indian."

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XBOX is the largest employer of American workers in the gaming industry and the largest American gaming company.

Amidst this controversy, Asha Sharma received a new appointment. US Federal Reserve Chairman Kevin Warsh announced her as a leader of one of five task forces established to examine the central bank's monetary policy. Sharma will head the task force focused on productivity and employment, a role she will undertake alongside other prominent figures, including former RBI governor Raghuram Rajan and Harvard professor Raj Chetty.

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And Asha is an American born, raised, and educated CEO, from Wisconsin.