The US Equal Employment Opportunity Commission (EEOC) has sued Texas-based technology staffing firm Sibitalent Corp., alleging that its recruitment practices discriminated against American job seekers based on national origin.
The lawsuit, filed on September 30 in the US District Court for the Northern District of California, alleges that the company preferred H-1B visa holders for job opportunities and excluded other qualified applicants.
According to the complaint, a Sibitalent recruiter contacted a California-based job seeker about a data analyst position and included the phrase “ONLY H1B” in the email. The role was with one of the firm's clients, and candidates could apply only through a referral.
When the job seeker questioned whether the restriction was lawful, the recruiter allegedly responded, “Yeah.” The complaint further alleges that the recruiter stopped responding when asked for more information and that the firm referred candidates from India and Nepal instead.
The EEOC claims that the alleged conduct violated Title VII of the Civil Rights Act, which prohibits employment discrimination based on national origin. Sibitalent had not responded to HR Dive's request for comment by the time of its report.
National origin discrimination under scrutiny
The lawsuit comes as the EEOC increases its focus on alleged national origin discrimination in hiring and other workplace decisions.
EEOC Chair Andrea Lucas has argued that employers cannot use unjustified visa requirements to exclude qualified American workers. The agency has also highlighted concerns about employment practices that allegedly favour guest-worker visa holders over other applicants.
In a statement regarding the Sibitalent case, Lucas said employers and staffing agencies cannot shut qualified Americans out of job opportunities through unjustified visa requirements used as a proxy for national origin discrimination. She reiterated the agency's commitment to enforcing federal employment law.
Christopher Green, director of the EEOC's San Francisco District Office, also said the agency aims to ensure American applicants can compete for jobs on a level playing field.
Implications for recruitment practices
The case highlights the importance of reviewing eligibility criteria and referral practices in recruitment, particularly when employers or staffing agencies use visa status to determine who can be considered for a role.
For HR teams and recruiters, job requirements should be tied to legitimate role and work-authorisation needs rather than assumptions about a candidate's national origin. Recruitment communications, screening criteria and referral processes should also be consistent with applicable employment law.
The lawsuit remains an allegation, not a final court finding. Its outcome will determine how the claims against Sibitalent are resolved.
