Vice President JD Vance and the Department of Labor’s Office of Inspector General have launched a major investigation into alleged abuse of U.S. employment-based visa programs, describing the effort as part of the Trump administration’s broader campaign against immigration fraud and labor exploitation.
Speaking at an anti-fraud event in Milwaukee on Wednesday, Vance said Labor Department investigators have already issued dozens of subpoenas as they examine suspected fraud involving foreign workers and employers. He said the goal is to protect American jobs by ensuring employment opportunities are awarded fairly and in accordance with federal law.
Labor Department Inspector General Anthony D’Esposito told the New York Post that investigators believe the schemes have cost the U.S. healthcare industry hundreds of millions of dollars while affecting other sectors of the economy as well. According to D’Esposito, some of the operations under investigation may also involve forced labor and human trafficking networks.
Officials say investigators have uncovered alleged schemes in which employers and labor brokers submitted fraudulent visa applications, required foreign workers to return part of their wages through kickback arrangements, and used below-market wages to gain an unfair advantage over American workers.
The investigation will focus on both H-1B visa petitions and employment-based green card cases. Authorities are reviewing whether fraudulent applications allowed some foreign workers to improperly obtain immigration benefits or replace qualified American workers. According to the New York Post, Department of Homeland Security assessments have previously identified fraud in up to 21 percent of H-1B visa petitions.
Appearing on Fox Business’ Mornings with Maria, D’Esposito argued that visa fraud extends beyond labor violations, claiming some cases are connected to organized criminal groups, including cartels and transnational gangs. He also said fraudulent employment in healthcare settings could create risks for patient safety.
During his Milwaukee remarks, Vance said the H-1B visa program was originally created to attract highly skilled professionals in fields such as science, technology, engineering, and medicine. However, he argued that some employers and overseas actors have misused the system to reduce labor costs and suppress wages for American workers.
The Trump administration says the investigation reflects its commitment to strengthening oversight of employment-based immigration programs, protecting U.S. workers from unfair competition, and identifying criminal organizations that exploit both foreign workers and the American immigration system. Officials say the inquiry remains active, with additional findings expected as investigators review evidence gathered through the ongoing subpoena process.
