Tech Giants Face Scrutiny Over H-1B Job Ads in Local Newspapers
Blue-chip technology companies are facing new scrutiny over their hiring practices, with critics alleging that job advertisements required under the H-1B green card sponsorship process are structured to discourage applications from U.S. workers.
Federal labor rules mandate that employers seeking to sponsor foreign employees for permanent residency must demonstrate that no qualified American candidate is available. As part of this “PERM” process, jobs must be advertised in at least two major Sunday newspapers, on a state workforce site, internally at the company, and through two additional methods. The intent is to test the local labor market before approving a green card for an existing H-1B visa holder.
Yet recent ads placed by major firms—including OpenAI, Instacart, and Udemy—in the San Francisco Chronicle raised eyebrows. Applicants were directed not to standard recruiting departments, but to “immigration” or “global mobility” teams, with instructions to send resumes by email or postal mail. Watchdog group Jobs.Now, which monitors H-1B postings, argues that such steps sideline traditional recruitment channels like LinkedIn or company career sites, reducing the likelihood that U.S. applicants will apply or be considered.
“These unusual application methods are likely to drive fewer applications than normal processes,” Jobs.Now told Newsweek, adding that many Americans remain unaware that domestic workers may be excluded from the process altogether. With unemployment among recent college graduates climbing in 2025, critics argue that companies are effectively reserving positions for foreign workers they already employ.
The concerns come against the backdrop of past enforcement actions. The Department of Justice reached settlements with Facebook in 2021 and Apple in 2023 after accusing both companies of improperly limiting opportunities to Americans during the PERM process. Despite those cases, watchdogs say similar practices continue with little new enforcement.
Labor economists note that the issue reflects broader tensions in U.S. immigration policy. “At that point, most employers have identified a specific foreign worker already working for them on an H-1B visa they want to sponsor, and now they have to go test the labor market,” explained Madeline Zavodny, an economics professor at the University of North Florida.
With pressure mounting, Congress may re-enter the debate. Republican lawmakers have introduced bills to tighten H-1B limits, while the Trump administration has signaled support for reform. For now, advocates argue that the gap between written labor rules and real-world practices continues to disadvantage American applicants.