EXCLUSIVE: ‘Phantom employees' scandal spurs GOP crackdown on $36B incentive for companies to bypass Americans

May 21, 2026 · 1:47 PM UTC ·6 min read · 0 reactions · 0 comments · 30 views

TL;DR · WeSearch summary

A scandal involving 10,000 'phantom employees' has prompted Republicans to address financial incentives that encourage companies to hire foreign workers over Americans. Representative Glenn Grothman has introduced the 'OPT Fair Tax Act' to eliminate tax exemptions for foreign workers under the Optional Practical Training program. The bill aims to create a more equitable job market for American graduates competing for employment.

Key facts

▪The discovery of fraudulent foreign workers has led to a GOP crackdown on hiring practices favoring non-Americans.
▪Rep. Glenn Grothman's bill seeks to require employers to pay the same payroll taxes for foreign workers as they do for American workers.
▪The Optional Practical Training program has faced scrutiny after reports of thousands of foreign students linked to fraudulent employment.

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Original publisher	Fox News — Latest
Canonical URL	https://www.foxnews.com/politics/exclusive-phantom-employees-scandal-spurs-gop-crackdown-36b-incentive-companies-bypass-americans
Publication time	Thu, 21 May 2026 09:47:17 -0400
Retrieval time	2026-05-21T13:56:11.044Z
Last seen	2026-05-21T13:56:11.044Z
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Opening excerpt (first ~120 words) tap to expand

Jobs EXCLUSIVE: ‘Phantom employees' scandal spurs GOP crackdown on $36B incentive for companies to bypass Americans Rep. Grothman's bill seeks close the loophole creating a 'significant financial incentive' to hire foreign workers By Peter Pinedo Fox News Published May 21, 2026 9:47am EDT Facebook Twitter Threads Flipboard Comments Print Email Add Fox News on Google close Video Acting ICE director reveals thousands of potential fraudulent foreign workers Acting ICE Director Todd Lyons revealed that Homeland Security Investigations officers uncovered potentially thousands of fraudulent foreign workers.

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Excerpt limited to ~120 words for fair-use compliance. The full article is at Fox News — Latest.

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