U.S. Department of Labor, Office of Inspector General Launches Investigation into H-1B Visa Fraud and Human Trafficking to Protect American Workers
July 8, 2026
FOR IMMEDIATE RELEASE
U.S. Department of Labor, Office of Inspector General
WASHINGTON, D.C. —The U.S. Department of Labor, Office of Inspector General (OIG), today launched a major investigation and is intensifying enforcement efforts to combat fraud and human trafficking in the H-1B and Program Electronica Review Management (PERM) systems. Working alongside federal law enforcement partners and President Donald Trump and Vice President J.D. Vance’s Taks Force to Eliminate Fraud, the OIG has uncovered widespread schemes in which employers and labor brokers submitted fraudulent applications, exploited foreign workers through coercive wage-kickback arrangements, and undercut American workers by flooding the market with below-wage labor. These abuses undermine the integrity of Department of Labor programs designed to address genuine labor shortages — not to line the pockets of bad actors at the expense of American jobs. This investigation reflects the OIG’s unwavering commitment to dismantle human trafficking and forced-labor networks that exploit the foreign guest worker visa system. The OIG is determined to root out every scheme that preys on vulnerable workers and take jobs from American workers.
“My team, in conjunction with President Trump and Vice President Vance’s Fraud Task Force, has worked relentlessly to uncover fraud, safeguard taxpayer dollars, and hold bad actors accountable. For far too long, fraudsters believed they could game the U.S. employment-based visa system and get away with it. They were wrong,”
said Anthony P. D’Espsoito, Inspector General, U.S. Department of Labor. “This isn’t just paperwork fraud—it’s the exploitation of vulnerable workers, forced labor, the displacement of American workers, and abusive human trafficking. As the Inspector General, my top priorities are exposing fraud, protecting American workers, and putting criminals in cuffs.”
Public Awareness and Reporting Campaign
To safeguard workers and strengthen H-1B and PERM program integrity, the OIG is launching a nationwide awareness initiative encouraging:
- U.S. workers who believe they have been displaced or harmed by potential H-1B or PERM fraud or related industry practices, and
- Foreign workers who believe they have experienced exploitation, coercion, benching, or fraudulent recruitment practices, and
- Any workers who believe they were compelled against their will to provide labor or services through force, fraud, or coercion, to report concerns confidentially or directly.
Reports may be submitted to the U.S. Department of Labor OIG Hotline: 1-800-347-3756 or
https://www.oig.dol.gov/hotline.htm
Protecting workers and enforcing the law remain central to the OIG’s mission. The Department urges anyone with information—including evidence of falsified immigrant or non-immigrant employment-based visa applications, wage kickbacks, benching, fraudulent recruitment practices, or visa program abuse—to come forward immediately. Cash rewards or other benefits may be available for information that assists the OIG or the U.S. government with timely prosecution against individuals and companies committing fraud against Department of Labor visa programs.
For additional information on DOL OIG, please visit
oig.dol.gov. If you suspect wrongdoing involving DOL programs or operations, contact the DOL-OIG Hotline at (800) 347-3756 or
oig.dol.gov/hotlinecontact.htm.
