The IT giant allegedly made jobs harder for Americans to find and apply for while favoring foreign visa holders
OpenAI has agreed to pay $3.2 million to settle US government claims that it discriminated against American job applicants while favoring foreign workers with temporary visas.
The US Justice Department said on Tuesday that the tech giant and its subsidiary Statsig, which makes product development software, deliberately made some vacancies harder for American workers to find and apply for.
OpenAI allegedly failed to post the positions on its public careers website, required applicants to mail paper applications instead of applying electronically, and advertised some jobs on the radio late at night.
Officials said the measures discouraged Americans from applying, making it easier for the companies to claim that they could not find suitable domestic workers and justify hiring foreign visa holders instead.
“It is illegal to discriminate against US workers by preferring temporary visa holders for jobs,” Assistant Attorney General Harmeet Dhillon said.
Under the settlement, OpenAI will pay $1.2 million in penalties and establish a $2 million fund to compensate people allegedly harmed by the recruitment practices. The company must also revise its hiring policies, publicly advertise relevant vacancies, accept electronic applications, train recruitment staff and submit to Justice Department monitoring.
Although fewer than ten positions were involved, officials said the size of the settlement reflected the harm caused when American applicants are shut out of lucrative technology jobs.
OpenAI has denied any wrongdoing.
The case comes amid US President Donald Trump’s wider campaign against alleged abuse of foreign-worker visa programs. He has argued that major companies use such schemes to hire cheaper labor from abroad at the expense of American employees.
Last year, Trump imposed a $100,000 fee on new H-1B visa applications, saying the surcharge would protect US jobs and national security. A federal judge blocked the measure in June, ruling that the White House could not impose what amounted to a tax without congressional approval.
Supporters of skilled-worker visas have argued that they allow US companies to fill specialized positions and help the country remain competitive in technology and other advanced industries. Trump’s critics have also opposed his restrictions on the H-1B program, arguing they would harm schools, universities, hospitals and other public institutions that rely on foreigners.
