Meta Platforms, the parent company of Facebook and Instagram, is at the center of a high-stakes legal battle after a federal judge ruled that a lawsuit accusing the tech giant of hiring bias can move forward. The case, filed by three U.S. citizens, alleges that Meta systematically favors hiring foreign workers under H-1B visas over equally qualified American candidates to reduce labor costs.
The lawsuit, spearheaded by information technology professional Purushothaman Rajaram, software engineer Ekta Bhatia, and data scientist Qun Wang, argues that despite their strong qualifications, Meta repeatedly rejected their applications between 2020 and 2024. The plaintiffs claim that Meta’s hiring practices reflect a clear preference for foreign workers, shutting out U.S. citizens from employment opportunities.
In response, Meta dismissed the allegations as baseless, stating that there is no proof of intentional discrimination. The company also argued that the plaintiffs had no guarantee of employment even if they were not U.S. citizens.
However, U.S. Magistrate Judge Laurel Beeler in San Francisco found merit in the plaintiffs’ claims. Beeler pointed to statistical evidence showing that 15% of Meta’s U.S. workforce consists of H-1B visa holders, a stark contrast to the 0.5% national average.
She also cited Meta’s prior legal troubles, including a $14.25 million settlement in 2021 with the federal government over claims that the company deliberately overlooked American candidates in favor of temporary visa holders.
“These allegations support the plaintiffs’ broader argument that Meta’s hiring policies discriminate against U.S. citizens in favor of H-1B visa holders,” Judge Beeler stated in her ruling.
The lawsuit is not Meta’s first brush with accusations of hiring bias. The federal government initially sued the company in December 2020, just before the end of former President Donald Trump’s administration, over similar allegations. The case was temporarily dismissed in 2022 but was revived last June by a divided federal appeals court. The decision was based on Section 1981 of the Civil Rights Act of 1866, a post-Civil War-era law designed to prevent discrimination in contracts based on nationality or citizenship.
The plaintiffs’ attorney, Daniel Low, emphasized that the lawsuit seeks to address a long-standing issue in the tech industry, where large corporations allegedly exploit visa programs to sideline American workers. Low stated that while this lawsuit is a step toward accountability, broader enforcement and legislative reforms are necessary to address systemic hiring discrimination in Silicon Valley.
Legal experts suggest that this case could set a precedent for how major tech companies approach hiring practices and their reliance on foreign labor. The lawsuit, Rajaram et al. v. Meta Platforms Inc., filed in the U.S. District Court for the Northern District of California under case number 22-02920, is expected to attract widespread attention as it unfolds.
As Meta braces for a legal battle, industry watchers are keeping a close eye on how the case could impact hiring policies across the tech sector. If the plaintiffs succeed, it could lead to major changes in how companies balance hiring foreign talent while ensuring fair opportunities for American job seekers.
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