Instacart has agreed to pay $5 million to settle allegations that it discriminated against American workers by favoring temporary visa holders during recruitment for jobs linked to green-card sponsorship, the US Department of Justice (DOJ) and the Equal Employment Opportunity Commission (EEOC) announced on October 20, 2026.
This differed from the company’s standard recruitment process, which allowed candidates to apply electronically. The EEOC’s investigation uncovered similar evidence . Assistant Attorney General Harmeet K.
Instacart will also pay $1 million in civil penalties to the US government. Workers Initiative, relaunched in 2025 to investigate employers accused of illegally favoring temporary visa holders. Because of the alleged practices, the agreement includes up to $4 million to compensate affected applicants and people who were deterred from applying.
Instacart required applicants for certain positions advertised under PERM recruitment to submit applications by physical mail, according to the DOJ. The department said the additional requirement created obstacles for US workers and meant many applicants were not considered in a timely manner. Dhillon said the settlement marked the 15th agreement reached by the Civil Rights Division under her leadership to protect American workers. EEOC Chair Andrea Lucas said the agency would act against employers that unlawfully restrict employment opportunities for US workers by preferring temporary visa holders. The DOJ said the settlement forms part of its Protecting U.S.
