Synopsis : A new letter from US Senator Ruben Gallego urges the Trump administration to intensify oversight of the H-1B visa program, accusing major corporations of hiring foreign workers while laying off Americans. Gallego cites tech layoffs, rising youth unemployment, and soaring living costs as alarming indicators demanding immediate action.
US Senator Ruben Gallego has intensified the debate surrounding the H-1B visa program, accusing corporations of exploiting immigration rules while cutting American jobs. In a strongly worded letter dated December 3, 2025, Gallego urged the Trump administration to strengthen its crackdown on what many officials are calling “H-1B fraud.”
Addressed to Labor Secretary Lori Chavez-DeRemer, USCIS Director Joseph Edlow, and Attorney General Pamela Bondi, the letter criticizes large tech and banking companies for “increasingly hiring foreign workers on temporary H-1B visas while simultaneously laying off American workers.”
Gallego emphasised that although immigration programs can boost the US economy when implemented correctly, they must not be used as a tool to replace domestic employees. His comments come despite the Department of Labor’s Project Firewall, launched in September to reinforce H-1B enforcement.
Tech Companies: Layoffs vs. New H-1B Hiring
The senator cited multiple reports showing a sharp rise in tech layoffs. According to the TrueUp Tech Layoffs Tracker, hundreds of thousands of workers have been let go in recent years. Yet, in FY 2025, many of these same companies were approved to hire over 30,000 H-1B workers, based on data from the USCIS H-1B Employer Data Hub.
This contrast, Gallego argues, raises serious concerns about whether companies are misusing the visa program to cut labor costs rather than fill skill gaps.
Youth Hit the Hardest
Citing a Quartz analysis, Gallego noted that the unemployment rate among recent American tech graduates remains troublingly high. The share of workers aged 21–25 dropped from 15% in early 2023 to 6.7% by mid-2025.
A Bank of America Institute report further revealed that 13% of all unemployed Americans in July were new entrants with no prior experience—showing that Gen Z is disproportionately affected by the shifting job landscape.
Economic Pressures Mounting
Gallego’s letter also highlighted how rising living expenses make the situation even more dire:
Students borrow over $30,000 on average for a bachelor’s degree.
Median home prices have surged 55.7% since 2020, while wages rose only 26.6%.
Childcare now costs more than rent in 17 US states and more than in-state tuition in 38 states, according to an NPR report.
These growing burdens, he argues, make the American Dream increasingly out of reach for young workers—especially when job opportunities are declining.
Call for Stronger Oversight
Gallego concluded by urging the Trump administration to ensure that the H-1B program supports—not undermines—US workers.
“Given the number of unemployed American graduates with relevant degrees and skills,” he wrote, “the fact that corporations are laying off American workers while simultaneously hiring foreign H-1B workers raises important questions.”
Disclaimer : This article is based on publicly available information and reports. It is intended for general informational purposes only and should not be interpreted as legal, financial, or immigration advice.
