US Department of Labor Inspector General Anthony D’Esposito has reiterated the Trump administration’s position that American workers should not lose job opportunities because of alleged fraud or abuse of the foreign-worker visa system, as federal investigators intensify scrutiny of employment-based immigration programmes.
“America is home to the best and brightest. They deserve a fair shot at good-paying jobs, fair wages, and the opportunity to succeed. No American worker should be cheated out of that opportunity by fraud or abuse of our visa system,” D’Esposito said in a post on X.
The remarks come amid a wider federal enforcement drive targeting alleged fraud involving foreign-worker visas, including the H-1B programme for skilled professionals and the J-1 exchange visitor programme. The administration has said it wants to prevent employers from exploiting immigration rules or using foreign workers to undercut American wages.
Subpoenas and search warrants in foreign-labour fraud probe
On September 18, the Department of Labor’s Office of Inspector General said investigators had issued dozens of subpoenas and executed search warrants as part of a criminal investigation into alleged foreign-labour fraud, worker exploitation and potential human trafficking.
The department also announced that visa applications involving IT services companies Cognizant and Cloudera had been suspended pending the investigation.
The probe forms part of the administration’s broader effort to examine whether employers are complying with immigration and labour requirements when recruiting foreign workers. Allegations under investigation, however, do not establish that every employer or organisation facing scrutiny has committed wrongdoing.
Nine US universities under scrutiny over J-1 visas
The inspector general announced a separate investigation on October 9 into potential fraud involving J-1 visa programmes at nine universities: the University of Pittsburgh, Yale University, Harvard University, Stanford University, Brown University, the University of California, Davis, the California Institute of Technology, Arizona State University and the Massachusetts Institute of Technology.
According to the official announcement, subpoenas had been served on the institutions.
The J-1 programme allows eligible foreign nationals to take part in designated exchange visitor activities, including academic and research programmes. The H-1B visa, by contrast, enables US employers to hire foreign professionals for specialty occupations.
The investigations are examining suspected abuse of these programmes. Their existence does not, by itself, prove wrongdoing by the universities or employers concerned.
Why Indian professionals are watching the investigation
The crackdown has particular relevance for Indian professionals, who account for the largest share of approved H-1B beneficiaries. US Citizenship and Immigration Services data for fiscal year 2024 showed that India-born beneficiaries accounted for 283,397, or 71%, of approved H-1B beneficiaries.
The heightened scrutiny could lead to closer examination of employers’ recruitment practices, visa petitions and compliance with labour requirements. However, D’Esposito’s latest statement did not announce any new restriction on Indian nationals or indicate that existing visas were being cancelled.
For current foreign workers and prospective applicants, the immediate question is whether the investigations will result in additional enforcement measures or regulatory changes.
The inspector general has said the agency’s focus is on protecting American workers, investigating suspected fraud and holding those responsible accountable. Any wider consequences for legitimate foreign workers will depend on the findings of the ongoing investigations and any subsequent government action.