The Department of Justice has secured a five million dollar settlement with Maplebear Inc., the company operating the Instacart grocery delivery service, following allegations that the firm systematically discriminated against American workers in favor of foreign visa holders.
The Civil Rights Division announced the resolution addresses violations of the Immigration and Nationality Act and Title VII of the Civil Rights Act of 1964. According to federal investigators, Instacart deliberately created obstacles for American job applicants while pursuing foreign workers through the Permanent Labor Certification program.
The alleged discriminatory practices centered on the company’s application process. Between December 2023 and February 2026, Instacart required American applicants to submit their applications through physical mail, a departure from the standard electronic application system used for other candidates. This additional burden, federal officials determined, constituted unlawful discrimination based on national origin.
The Permanent Labor Certification program permits employers to sponsor temporary visa workers for permanent residence in the United States. The program carries a fundamental requirement: companies must demonstrate a good-faith effort to hire American workers before seeking foreign nationals to fill positions. The Justice Department concluded that Instacart’s practices violated this basic principle.
Assistant Attorney General Harmeet K. Dhillon emphasized the significance of the settlement in the broader context of protecting American workers. “This significant resolution marks the 15th settlement agreement the Civil Rights Division has reached under my leadership to protect U.S. workers,” Dhillon stated. “Our record demonstrates that the Justice Department is holding companies who prefer workers with temporary employment visas accountable. We will not stop fighting for U.S. workers until there is a fair playing field.”
The settlement, secured in coordination with the U.S. Equal Employment Opportunity Commission, requires Instacart to establish a four million dollar compensation fund for applicants who may have been harmed by the company’s practices. An additional one million dollars in civil penalties will be paid to the federal government.
The resolution arrives amid heightened scrutiny of employment visa programs within the current administration. Labor Secretary Keith Sonderling has been addressing concerns about alleged H-1B visa abuse, explaining how certain firms have undercut American workers through improper use of these programs. The administration has called on major technology companies and other corporations to prioritize domestic workers and cease abusing visa programs designed with specific limitations and requirements.
The case against Instacart represents the latest enforcement action in what appears to be a concerted effort by federal authorities to ensure American workers receive fair consideration for employment opportunities. The settlement serves as notice to other companies that may be engaging in similar practices that federal enforcement agencies are actively investigating potential violations of employment discrimination laws.
For American workers who believe they may have been affected by Instacart’s practices during the relevant period, the compensation fund established through this settlement provides a mechanism for potential redress. The specifics of the claims process will be administered according to the terms negotiated between the Justice Department and the company.
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