The U.S. Department of Justice’s Civil Rights Division announced on 4 August 2026 that it has reached a $3.2 million settlement with OpenAI OpCo LLC and its subsidiary Statsig Inc. to resolve allegations that the companies violated the Immigration and Nationality Act by favoring temporary visa holders over U.S. workers during the Permanent Labor Certification (PERM) process.
Under the agreement, OpenAI will pay $1.2 million in civil penalties to the government and establish a $2 million back-pay fund to compensate affected workers. The settlement also imposes forward-looking compliance obligations intended to ensure U.S. workers receive a fair opportunity to compete for the positions at issue.
Alleged Discriminatory Recruitment Practices
The Department’s investigation focused on OpenAI’s recruitment conduct in connection with a small number of PERM positions—fewer than ten in total. According to the DOJ, the company departed from its ordinary hiring practices in ways that discouraged or limited applications from U.S. workers.
Specifically, OpenAI did not post the PERM-related openings on its external careers website, even though it routinely advertised other positions there. Applicants for the PERM roles were required to submit paper applications by mail, while electronic applications were accepted for non-PERM jobs. The company also advertised some of the positions on the radio late at night, a method the Department viewed as likely to reduce the pool of U.S. applicants.
“It is illegal to discriminate against U.S. workers by preferring temporary visa holders for jobs,” said Assistant Attorney General Harmeet K. Dhillon of the Civil Rights Division. “This substantial settlement ensures that OpenAI redresses harm and changes its recruitment practices so that U.S. workers receive a fair opportunity for highly sought-after technology positions.”
The PERM program permits employers to sponsor foreign workers for permanent residency only after conducting good-faith recruitment and demonstrating that no qualified U.S. workers are available. The Immigration and Nationality Act prohibits employers from discriminating against U.S. workers on the basis of citizenship status during that process.
Settlement Terms and Compliance Requirements
In addition to the monetary payments, the settlement requires OpenAI to:
- Post PERM-related positions on its public career website;
- Accept electronic applications for those roles;
- Train relevant personnel on the INA’s anti-discrimination provisions;
- Revise its employment policies; and
- Submit to Department monitoring and reporting obligations designed to prevent future violations.
The $2 million back-pay fund is intended to compensate U.S. workers who were harmed by the alleged discriminatory practices. The civil penalty of $1.2 million will be paid to the United States.
Part of Broader Enforcement Initiative
The OpenAI resolution is the thirteenth settlement secured under the Department’s Protecting U.S. Workers Initiative since the program was relaunched in 2025. The initiative targets employers that illegally favor temporary visa holders over U.S. workers. In these cases, the Department typically seeks civil penalties for each violation, back pay where appropriate, mandatory training, and policy changes that eliminate citizenship-status restrictions on job consideration absent a lawful justification.
Although the number of PERM positions involved in the OpenAI matter was limited, the Department emphasized that the resolution amount reflects the broader impact on U.S. workers who were effectively excluded from competing for high-value technology roles.
AI Scrutiny
The case underscores that deviations from an employer’s ordinary recruitment practices—particularly when those deviations make it harder for U.S. workers to learn about or apply for positions—can trigger scrutiny under the Immigration and Nationality Act. Companies sponsoring foreign workers through the PERM process should ensure that recruitment methods are consistent, transparent, and equally accessible to U.S. applicants.
Employers with questions about compliance can contact the Immigrant and Employee Rights Section’s worker hotline at 1-800-255-7688 or the employer hotline at 1-800-255-8155, or visit the Section’s website for additional resources and guidance on the Protecting U.S. Workers Initiative.
The settlement agreement requires OpenAI to implement the required changes and remain under monitoring to confirm ongoing compliance with the anti-discrimination provisions of the Immigration and Nationality Act.