WASHINGTON — Vice President JD Vance and the Department of Labor’s internal watchdog said Wednesday they are launching an investigation into alleged abuse of foreign worker visa programs in the United States, marking the latest effort by the Trump administration to target fraud.
Speaking at an anti-fraud event in Milwaukee, Vance said Labor Department officials had issued dozens of subpoenas as part of the inquiry. He framed the probe as an effort to make sure “American jobs … go to American workers and not foreign fraudsters.”
Labor Department Inspector General Anthony D’Esposito told The Post that the alleged schemes have affected the medical industry, costing it “hundreds of millions” of dollars, while also extending into other employment sectors. He said some operations have involved forced-labor networks and human traffickers.
According to the Labor Department’s Office of Inspector General, investigators have already identified “widespread schemes” in which employers and labor brokers allegedly filed fraudulent applications, coerced foreign workers through wage-kickback arrangements, and harmed American workers by introducing below-wage labor into the market.
Department of Homeland Security assessments have found that as many as 21% of H-1B petitions were fraudulent.
D’Esposito also said on Fox Business’ “Mornings with Maria” that the investigation will not be limited to H-1B visa workers accused of displacing Americans, but will also examine employment-based green card holders.
“This is another example where fraud is fueling violent crime,” D’Esposito said, claiming the visa fraud “is tied to cartels, is tied to transnational gangs.”
He added that the concerns go beyond traditional labor settings. “This is not just people working in factories or actual labor,” D’Esposito said. “These are people working in medical facilities and doctors’ offices that are actually putting people in harm’s way.”
At the Milwaukee event, Vance said the investigation will root out immigration fraudsters who can “undercut” American workers.
“This is a visa program that was set up to ensure that if you were a brilliant technology person or a brilliant scientist or a brilliant doctor, you could come to the United States and get access to this visa program,” he told attendees. “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.”
“What we’re doing in the Trump administration, we’re saying, ‘No more,’” he added. “If you are trying to take advantage of that visa program, you are not allowed in to the United States of America.”
The H-1B visa allows non-citizens to work in the US when companies need to hire highly skilled foreigners. So-called PERMs are permanent labor certifications for foreigners seeking employment-based green cards.
Most H-1B workers come from India (73%), more than half have received a master’s degree and the majority are filling roles in programming, data communications or technical support, according to the Pew Research Center.
Tech industry giants like Amazon, Google, Meta, Microsoft and Apple recruit many of the H1-B employees. Others work in the health care, manufacturing or higher education.
California, New York, Illinois, Texas and Washington State are the top recipients of the petitions.
H-1B recipients peaked in 2022 under former President Joe Biden, when 442,425 applications were approved, per Pew Research.
The H-1B visas allow foreigners to stay for up to three years and can be renewed once. PERMs can remain beyond that so long as they’re employed
President Trump signed an executive action last year imposing a $100,000 annual fee for all H-1B applicants — but that was struck down by a federal judge in June.
The US Department of Housing and Urban Development also stopped non-permanent residents, including H-1B visa holders, from being eligible for FHA-insured mortgages starting in May 2025.
Before returning to the White House, Trump told The Post that he’s “always been in favor of the visas” and used H-1Bs to hire workers for his many properties.
