OpenAI has agreed to pay $3.2 million to settle allegations brought by the U.S. Department of Justice (DOJ) that the company discriminated against American workers in its hiring practices. The DOJ claimed that OpenAI, along with its subsidiary Statsig, favored temporary visa holders from abroad when recruiting for certain job openings.

According to the DOJ, OpenAI engaged in recruiting foreign workers for some positions while allegedly implementing measures that discouraged U.S. applicants from applying. The settlement resolves the government’s claims without OpenAI admitting to any wrongdoing.

The allegations centered on the accusation that OpenAI prioritized non-U.S. workers by actively recruiting overseas talent and reportedly taking steps that limited opportunities for domestic candidates. The specifics of these steps were not detailed in the regulatory filings.

OpenAI did not provide a public comment on the settlement at the time of the announcement. The company’s subsidiary Statsig was mentioned as involved in the hiring process, but the extent of its role relative to OpenAI’s overall recruitment policies was not clarified.

The settlement underscores ongoing regulatory scrutiny of hiring practices within the technology sector, particularly concerning the treatment of U.S. workers versus foreign visa holders. Federal authorities have increasingly focused on ensuring companies comply with employment laws designed to protect domestic labor markets.

By resolving the matter through a financial settlement, OpenAI and Statsig avoid further litigation that could have complicated their hiring processes and reputations. The $3.2 million payment will go toward compensating potential victims of the alleged discriminatory practices and funding enforcement actions.

This case adds to a growing list of actions by the DOJ targeting companies in Silicon Valley and beyond over employment practices involving foreign workers. The outcome highlights the challenges companies face in balancing global talent recruitment with compliance to U.S. labor regulations.