The Trump administration has launched what it describes as one of its most significant investigations into alleged abuse of the H-1B work visa programme, with US Vice President JD Vance warning that companies and individuals accused of exploiting the system at the expense of American workers would face tough action.
Speaking on Wednesday during a visit to the Wisconsin Air National Guard's 128th Air Refuelling Wing base in Milwaukee, Vance said the Department of Labour had begun issuing subpoenas and opening investigations targeting what he described as "foreign fraudsters" misusing employment-based visa programmes.
"We have a program called the H-1B visa program. This goes to show how broad-based the fraud task force is we're... we're fighting for your taxpayer money, but we're also making sure that fraudsters don't take advantage of these visa programs,” he said.
Vance said the H-1B programme was originally intended to allow "a brilliant technology person, or a brilliant scientist, or a brilliant doctor" to legally work in the United States, but argued that its purpose had increasingly been distorted.
"But you know what's happening way too much is that big corporations and fraudsters overseas are using this program to undercut the wages of American workers. So, you know what we're doing in the Trump administration? We're saying no more. If you are trying to take advantage of that visa program, you are not allowed into the United States of America," he said.
"Here's a simple principle, ladies and gentlemen: American jobs ought to go to American workers and not foreign fraudsters, and the Department of Labour is fighting back against it," Vance added.
His remarks came after the administration initiated its first major investigation into suspected fraud involving both the H-1B and PERM visa programmes, which are widely used by US employers to recruit foreign professionals for specialised positions.
Labour Department Inspector General Anthony D'Esposito told Fox News that his office had already begun issuing subpoenas as part of a broad investigation into suspected labour trafficking and abuse linked to foreign worker visa programmes.
"We are going to take aggressive action, which we believe is probably the most aggressive action against foreign labour fraud by an Inspector General, this administration," he said.
D'Esposito said information provided by whistleblowers had directed investigators toward "some of the biggest companies, like Cognizant", adding that his office intended to "track down every lead".
He also said investigators would "work side by side with the president and vice president's fraud task force" throughout the inquiry.
In an official statement, the Department of Labour said its Office of the Inspector General (OIG) had uncovered widespread schemes involving employers and labour brokers who submitted fraudulent applications while exploiting foreign workers through coercive wage-kickback arrangements.
"These abuses undermine the integrity of Department of Labour programs designed to address genuine labour shortages - not to line the pockets of bad actors at the expense of American jobs," the statement said.
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