In recent months, we have seen a rise in charges filed with the U.S. Department of Justice's (DOJ) Immigrant and Employee Rights Section (IER) and announcements from the Equal Employment Opportunity Commission (EEOC) depicting a focus on what is often characterized as "anti-American hiring bias." This evolving focus understandably raises questions among employers that rely on global talent pipelines and sponsor individuals across a range of employment-based visa categories in the U.S.
A Renewed Enforcement Focus—But Not a Blanket Prohibition
In February 2025, the EEOC announced that protecting U.S. workers from national origin discrimination—particularly where employers are perceived to favor foreign nationals—will be a key enforcement priority. DOJ leadership has echoed these sentiments, with statements underscoring a renewed focus on protecting opportunities for U.S. workers.
Importantly, this enforcement posture does not signal an end to legitimate visa sponsorships. The agencies continuously emphasize clearly discriminatory practices—such as restricting job opportunities exclusively to visa holders or foreign nationals—as the target of recent actions. Companies that rely on standard, merit-based hiring practices and comply with anti-discrimination laws may continue to engage in employment-based sponsorship for key talent.
Recent settlements highlight outlier situations with practices that are not the norm. For example, on June 10, 2025, the DOJ announced a settlement with a recruiting firm that advertised positions as available only to H-1B visa holders—effectively excluding U.S. workers from consideration. The company agreed to pay $71,916 in civil penalties and implement corrective measures, including policy updates and employee training. Separately, in February, a $1.4 million settlement was reached with a hotel in Guam that allegedly favored Japanese-speaking foreign nationals over local applicants. This case, although outside traditional visa-reliant industries, underscores the agencies' willingness to pursue national origin discrimination in scenarios where local applicants are excluded or disadvantaged.
What This Means for Employers
The key takeaway is not that visa sponsorship is under fire—but that employment practices must be fair, transparent, and inclusive of U.S. workers. Employers should review immigration-related policies, recruitment language, and hiring documentation to ensure compliance with equal employment opportunity and anti-discrimination laws.
Employers may continue to sponsor foreign talent where justified by business needs—particularly for high-skilled roles—provided the selection process is well-documented, competitive, and does not disadvantage qualified U.S. workers.
Recommended Steps
Staying ahead of this evolving enforcement landscape means starting with taking stock of current practices and policies. Conducting an internal assessment of hiring practices and immigration sponsorship programs will help identify potential gaps or problem areas. Once identified, remedial measures may be considered to update policies and processes to ensure U.S. workers are considered fairly, including for roles where visa sponsorship is common.
Recommended actions to minimize enforcement risk while maintaining access to global talent may include the following:
- Assessing hiring and sponsorship policies.
- Ensuring recruitment efforts are inclusive and that job postings do not discourage or exclude U.S. applicants.
- Reinforcing compliance through training and equipping recruiters, hiring managers, and HR professionals with clear guidance on legal requirements.
- Documenting hiring decisions and maintaining records that clearly show how all candidates, including foreign nationals, were evaluated based on objective, merit-based criteria.
- Staying informed and monitoring developments in DOJ and EEOC enforcement practices.
Final Thoughts
While recent enforcement activity reflects a sharpened focus on practices that may disadvantage U.S. workers either intentionally or unintentionally, it does not restrict the ability of U.S. employers to engage in legitimate visa sponsorships. The settlements to date have targeted outlier practices—not the mainstream, compliant efforts of employers navigating a competitive, global labor market.
With thoughtful planning, compliance-minded execution, and clear documentation, employers can continue to meet talent needs while remaining aligned with evolving enforcement priorities.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
