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OpenAI Reaches $3.2 Million Settlement with DOJ Over Claims It Discriminated Against US Workers

OpenAI disputes the Justice Department's view, but said it wanted to move forward with a program to support employees "requiring immigration support."

OpenAI Reaches $3.2 Million Settlement with DOJ Over Claims It Discriminated Against US Workers

TL;DR

  • OpenAI and its subsidiary Statsig will pay $3.2 million to settle with the Justice Department.
  • The settlement resolves allegations of discriminating against U.S. workers by favoring temporary visa holders.
  • Assistant Attorney General Harmeet K. Dhillon stated that discriminating against U.S. workers by preferring visa holders is illegal.
  • OpenAI disagreed with the DOJ's findings but settled to proceed with its PERM program for employees needing immigration support.
  • The Justice Department found "reasonable cause" to believe the companies made it difficult for U.S. workers to apply for jobs targeted for foreign workers via the PERM process.
  • The PERM program requires companies to prove they cannot find U.S. workers for a job before sponsoring temporary visa holders for permanent status.
  • Alleged failures included not posting some jobs on external sites, not advertising on the radio, and requiring paper applications for PERM positions while allowing electronic applications for others.
  • Of the settlement, $1.2 million is in civil penalties, and $2 million will compensate victims.
  • The resolution amount reflects the harm to U.S. workers shut out of lucrative technology jobs.