Food delivery favorite forced to fork over millions after DOJ alleged discrimination against American workers

FIRST ON FOX: Popular grocery delivery company Instacart has reached a multimillion-dollar settlement with the Department of Justice (DOJ) after it was accused of discriminating against American workers.

The DOJ’s Civil Rights Division says it has reached a $5 million settlement with Maplebear Inc., which operates the delivery service used by Americans to get groceries sent to their front doors. The resolution addresses allegations that the company purposefully discriminated against U.S. and American workers based on country of origin, which the DOJ says violates the Immigration and Nationality Act (INA) and Title VII of the Civil Rights Act of 1964 (Title VII).

The company, according to the Justice Department, was abusing the Permanent Labor Certification (PERM) process by placing undue burdens on American applicants by requiring them to physically mail applications to the company, deviating from Instacart’s standard electronic application process. The scheme occurred from December 2023 through February 2026.

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“This significant resolution marks the 15th settlement agreement the Civil Rights Division has reached under my leadership to protect U.S. workers,” Assistant Attorney General Harmeet K. Dhillon said. “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 was secured in conjunction with the U.S. Equal Employment Opportunity Commission (EEOC).

Instacart will be required, under the settlement, to set up a $4 million fund to compensate applicants who may have been wronged, and another $1 million in civil penalties.

The PERM program allows employers to sponsor temporary visa workers for permanent residence in the United States. However, companies using the PERM program are required to make a “good-faith” effort to hire American workers before resorting to foreigners.

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Companies cannot create “additional burdens for U.S. and American workers; publishing job advertisements that disfavor, limit, specify, or otherwise discriminate against U.S. and American workers; or use processes that limit, segregate, or classify applicants in any way that tends to deprive U.S. and American applicants of employment opportunities,” according to the DOJ.

The settlement is the 15th of its kind since President Donald Trump began his second term in office in January 2025 and is part of a broader effort to ensure American workers aren’t illegally discriminated against.

The EEOC has dubbed the mission “Project Firewall.”

“Today’s settlement makes clear that when employers erect unlawful barriers that harm American workers, the EEOC will act decisively,” said Andrea Lucas, the chair of the EEOC. “The EEOC is committed to holding companies accountable when they deny equal work opportunities to U.S. workers by preferring temporary visa holders for jobs. Discrimination against workers based on their American national origin has no place in our economy.”

“We’re proud to be a U.S.-based grocery technology platform, employing thousands of American workers and serving millions of customers, retailers, shoppers and brands. We encourage qualified U.S. jobseekers to apply to join our team,” an Instacart spokesperson told Fox News Digital.

“Hiring and investing in American workers across our U.S. business is our priority, and we actively promote every role across many channels to ensure qualified U.S. candidates are always first in line for opportunities. While we maintain that our practices complied with all applicable laws and regulations, we’re pleased to have resolved this matter so we can keep our full focus on delivering on our mission for customers, shoppers, retailers and brands.”