Core Memo

Memorandum

To
Anyone who needs the day in one page
Date
August 30, 2026

Memorandum

From
Caroline Mercer via FOX News
Date
Filed
Politics·4 min to read
Re

Silicon Valley investor draws backlash for calling Vance jobs push a return of DEI

ReSilicon Valley investor draws backlash for calling Vance jobs push a return of DEI

Y Combinator partner Ankit Gupta faces criticism from Trump administration officials after describing Vice President JD Vance's call for companies to hire and train American workers as a return of DEI.

A Silicon Valley investor has sparked a political firestorm after describing Vice President JD Vance's push for American companies to hire and train domestic workers as a return of diversity, equity and inclusion policies. Ankit Gupta, a general partner at startup accelerator Y Combinator, wrote on X that the administration's message amounted to a win for the "woke left," drawing swift rebukes from several Trump administration officials and conservative figures.

Labor Department Inspector General Anthony D'Esposito was among the first to respond, writing, "No, Ankit. It's called putting your own citizens first." Federal Trade Commission Chairman Andrew Ferguson, Justice Department Civil Rights Division head Harmeet Dhillon, and Nalin Haley, son of former U.N. Ambassador Nikki Haley, also publicly challenged Gupta's framing. Ferguson accused Y Combinator of being "nothing more than a front for the far left" and said he was "deeply uncomfortable with wealthy investors attacking American workers like this." He later posted a screenshot showing Gupta had blocked him on the platform.

Gupta's post came in response to Vance's call for American corporations to prioritize hiring and training U.S. workers when filling positions. The exchange reflects a broader administration push to overhaul immigration and labor policies, particularly the H-1B visa program, which allows employers to hire temporary foreign workers in specialty occupations. Gupta made his account private after the backlash, according to X.

Nalin Haley argued that it should not be controversial to favor American workers, writing, "It's now DEI to train and hire Americans? Plenty of data to show that Americans are more than qualified, but corporate greed refuses to pay them respectable wages." He added, "You can have a meritocracy in AMERICA but it has to apply to AMERICANS. Otherwise we're just a globalist entity and not even a country anymore. Ban the H-1B Visa now!"

Dhillon went further, accusing some technology companies and other employers of exploiting visa programs to obtain cheaper foreign labor for jobs Americans could perform. She said some firms fail to advertise openings through regular channels and rely on staffing pipelines instead. "These are not good business practices; they are not patriotic economic practices; and they are illegal labor practices," Dhillon wrote, adding that the administration "will not allow American employers to discriminate against American workers." She noted that the Justice Department, Equal Employment Opportunity Commission and Labor Department are working together to "level the playing field for U.S. workers."

The clash comes as the Trump administration pursues multiple changes to the H-1B program. A 2025 effort to impose a $100,000 payment on new H-1B petitions through a presidential proclamation was blocked by a federal judge. The administration is now trying a different route, with the Department of Homeland Security proposing a formal rule that would establish a $103,265 fee for cap-subject petitions. The Labor Department has separately proposed changing how wages are calculated in H-1B and related visa programs, saying the goal is to curb incentives to hire foreign workers at below-market pay and to protect the wages and job opportunities of American workers.

Fox News Digital reached out repeatedly to Y Combinator and Gupta for comment on his characterization but did not receive a response.

Caroline Mercer

Author

World News Correspondent

Caroline Mercer covers public affairs, politics, business, culture and daily news for Core Memo. The role focuses on verification, context, and clear explanations for readers.

Encl.More under Politics