A U.S. appeals court has revived a class action lawsuit against Meta Platforms, alleging the company preferred hiring lower-wage foreign workers over U.S. citizens. The 9th Circuit Court of Appeals ruled that a Civil War-era law banning discrimination in contracts based on “alienage” also protects U.S. citizens. This decision reverses an earlier dismissal of Purushothaman Rajaram’s lawsuit, which claims Meta passed over American workers in favour of visa recipients. The case could set a precedent and potentially reach the U.S. Supreme Court if appealed.

Rajaram’s lawyer highlighted the tech industry’s bias against U.S. workers, while Meta has denied any intent to discriminate. The ruling may encourage more lawsuits in California and other states covered by the 9th Circuit. This case follows similar lawsuits and investigations into hiring practices favouring foreign workers, including a $25 million settlement by Apple last year.