Regulation

OpenAI to Pay $3.2 Million to Settle DOJ Allegations over Preferential Hiring of Visa Holders

OpenAI agreed to a $3.2 million settlement with the U.S.

OpenAI to Pay $3.2 Million to Settle DOJ Allegations over Preferential Hiring of Visa Holders

On Tuesday, OpenAI agreed to pay $3.2 million to resolve allegations from the U.S. Department of Justice that the company discriminated against U.S. workers by favoring temporary visa holders for certain positions filled through the permanent labor certification process (PERM).

Allegations from the DOJ

The DOJ alleges that OpenAI OpCo LLC and its subsidiary Statsig Inc. filled certain roles via the PERM process without first posting those jobs on the company’s public careers site, even though other openings were routinely advertised. The department also says OpenAI discouraged U.S. workers from applying by imposing requirements such as mailed applications and by advertising some positions on late-night radio.

Terms of the settlement and financial details

Under the agreement OpenAI will pay a total of $3.2 million: $1.2 million in civil penalties and $2 million set aside for workers the DOJ identifies as eligible. The DOJ noted that fewer than 10 positions were at issue, but said the resolution amount reflects the harm when U.S. workers are shut out of lucrative technology jobs.

The settlement also obliges OpenAI to change certain hiring practices: the company must post jobs on its career site, accept electronic applications, provide training for relevant staff, and submit to DOJ monitoring and reporting.

Statements from the parties

Assistant Attorney General Harmeet K. Dhillon said in the DOJ’s Tuesday release that it is illegal to prefer temporary visa holders over U.S. workers. The DOJ characterized the settlement as ensuring that OpenAI remedies harm and changes recruitment practices so U.S. workers get a fair opportunity for in-demand technology positions.

A spokesperson for OpenAI told Axios by email that the company’s mission is to “ensure that AGI benefits all of humanity.” The statement said preserving U.S. leadership in AI requires attracting top talent from the United States and around the world. OpenAI said it disagrees with the DOJ’s findings but reached the agreement to resolve the matter and continue its PERM program, which the company described as critical for employees and candidates who require immigration support.

Broader context

Tuesday’s agreement is the DOJ’s 13th settlement since it relaunched the Protecting U.S. Workers Initiative in 2025, an effort to strengthen enforcement of the Immigration and Nationality Act’s ban on discrimination based on citizenship status.

The resolution signals heightened scrutiny of tech companies that the DOJ believes may be using visa processes in ways that disadvantage U.S. workers.

Practical implications

For employers, the settlement underscores specific compliance expectations around job postings, application processes and documentation for PERM-related hiring. For OpenAI, it means both a financial payment and operational changes, along with ongoing monitoring and reporting obligations to the DOJ.

Summary

OpenAI’s $3.2 million settlement resolves DOJ allegations that the company favored temporary visa holders for certain PERM-filled positions and required changes to its recruitment procedures, while the company maintains it disagrees with the department’s findings but accepted the deal to move forward with its PERM program.