DOJ PERM Crackdown 2026: EB-3 Sponsors Face $1.2M+ Penalties After OpenAI Settlement
DOJ settled with OpenAI and Statsig for $1.2M over PERM recruitment discrimination, part of a growing enforcement wave targeting tech employers who create separate application channels for PERM-sponsored roles.
The Department of Justice's Immigrant and Employee Rights Section (IER) reached a $1.2 million settlement with OpenAI and Statsig on August 3, 2026, over allegations that both companies required PERM-related job applicants to submit paper applications by mail while allowing electronic applications for all other positions. The settlement also establishes a $2 million back-pay fund for affected U.S. workers who were discouraged from applying.
This action is part of the DOJ Civil Rights Division's 'Protecting U.S. Workers Initiative,' relaunched in 2025, which has produced an accelerating wave of enforcement actions across the technology sector. Prior settlements include Facebook ($4.75M penalty plus up to $9.5M in back pay, 2021), Apple ($6.75M penalty plus an $18.25M back-pay fund, 2023), and active litigation against Cloudera after a complaint filed in April 2026 — where a dedicated PERM intake inbox silently rejected external messages, leaving applicants unaware their submissions never arrived.
The core legal risk for EB-3 sponsors stems from two overlapping obligations: 8 U.S.C. § 1324b(a)(1)(B), which prohibits citizenship-based discrimination in hiring, and the DOL's PERM regulation at 20 C.F.R. § 656.10(c), which requires that PERM recruitment mirror how the employer normally recruits for comparable non-PERM roles. Crucially, IER does not require proof of explicit discriminatory intent — a separate, harder, or functionally broken application path for PERM roles is itself treated as evidence of intent to discourage U.S. worker applicants.
For employers sponsoring foreign nationals for EB-3 green cards, this is now an active, well-resourced enforcement priority. Companies should immediately audit their PERM recruitment workflows for any deviation from standard hiring procedures — including dedicated email inboxes, legacy portals, paper-only submission requirements, or narrower advertising channels. The escalating penalty trajectory (from $1.2M for limited violations to $6.75M for broader non-compliance) makes early self-correction and proactive cooperation with IER the most effective risk management strategy.
The Department of Labor's PERM processing times are showing continued signs of improvement in 2026, though significant backlogs remain for EB-3 labor certification applicants.
Senate Bill S. 5155 would require employers to pay a minimum $10,000 fee when filing for permanent labor certification (PERM), directly impacting EB-3 sponsored workers.
The U.S. Department of Labor has signaled a comprehensive overhaul of the PERM program with a Notice of Proposed Rulemaking scheduled for July 2026, the first major update to labor certification rules since 2004.