> Essentially they're trying to change the rules by aggressive re-interpretation of the existing legal framework, and not actually changing any laws or regulations.

If you want to make that argument, you have to confront the fact that H1 is by its terms a “nonimmigrant” visa for people who are “temporarily” in the U.S. 8 USC 1101(a)(15)&(a)(15)(H). While adjustment of status was possible, it was never intended to be a de facto immigrant visa that typically leads to permanent residency.

Note the law does also have immigrant visas which are designed to lead to permanent residency, such as E1 visas: https://travel.state.gov/content/travel/en/us-visas/visa-inf...