DOL Set to Re-Evaluate OPT Program to Protect American Workers

A major development in the fight against immigration programs that displace American workers occurred this week when the Department of Homeland Security confirmed it is re-evaluating the Optional Practical Training (OPT) program.

The update came in a letter from DHS to Senator Eric Schmitt, dated January 9, 2026, and publicly released by the Senator this week. In the letter, DHS confirmed it is reviewing both OPT and the expanded STEM-OPT program to determine whether the system still serves the interests of the United States labor market, tax system, and national security.

For years, Texans for Strong Borders has warned that programs like OPT allow corporations to replace American workers with foreign labor while avoiding taxes and oversight.

OPT allows foreign students on F-1 visas to remain in the United States and work after graduation. In STEM fields, the program can extend for up to three years. During that time, employers often receive a significant financial advantage: companies hiring OPT workers are exempt from paying Social Security and Medicare payroll taxes—effectively giving them a 7% to 15% discount compared to hiring American workers.

That loophole has created a powerful incentive for corporations to hire foreign workers instead of qualified American graduates.

Now, that system may finally face scrutiny.

In the letter, DHS notes that OPT exists not because Congress created it, but because it was established through agency regulation under 8 C.F.R. 214.2(f)(10). That means the program can be modified—or even eliminated—through the federal rulemaking process without new legislation from Congress.

DHS also referenced an upcoming rulemaking entry in the federal government’s Spring Unified Agenda (RIN 1653-AA97). According to the agenda, the department intends to examine how OPT may contribute to:

  • Worker displacement of U.S. citizens
  • Fraud and abuse within the program
  • National security risks
  • Weak oversight of student visa employment programs

Strengthening oversight of the Student and Exchange Visitor Program (SEVP) is also expected to be part of the review.

For Texans concerned about the future of American jobs, this development is an encouraging step. Programs like OPT have quietly expanded for decades, creating backdoor guest-worker pipelines that allow corporations to bypass American workers while claiming labor shortages.

At Texans for Strong Borders, we believe the ultimate solution is clear: the OPT program should be eliminated entirely. American graduates should not have to compete against foreign labor subsidized by tax loopholes and regulatory favoritism.

Still, DHS’s decision to review the program signals that Washington is finally beginning to recognize the damage these policies can cause.

If the Trump administration follows through with meaningful reform—or ultimately ends OPT altogether—it would mark a significant victory for American workers and for the principle that our immigration system should serve the interests of our own citizens first.

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