US hotels hiring managers requested 36% more pre-employment background checks in the first half of 2025 compared with the same period in 2024, driven by heightened federal scrutiny of immigrant workers and shifting enforcement priorities under the Biden administration’s renewed immigration directives With immigrants comprising roughly one-third of the U.S. hospitality workforce, hoteliers are racing to shore up vetting protocols to avoid legal pitfalls—even as America’s lodging sector grapples with chronic labor shortages.
1. A Policy Reversal Spurs Industry-Wide Vigilance
In June 2025, the Department of Homeland Security rescinded a 2024 memo that had effectively barred Immigration and Customs Enforcement (ICE) from workplace raids at farms, hotels, and restaurants. The new guidance explicitly permits ICE to resume enforcement actions in these settings, triggering alarm among hotel operators worried about accusations of lax I-9 compliance and unauthorized employment
“Companies are certainly far more cognizant of this than they’ve ever been, and they don’t want to be caught up in—or be accused of—lax hiring practices when it comes to verification of immigration status,” said Patrick Scholes, a Truist equity analyst specializing in hospitality
2. Immigrants: The Backbone of Hotel Staffing
Industry data show that at least one-third of employees in the U.S. travel and hospitality sector are foreign-born, underscoring the critical reliance on immigrant labor for both back-of-house and guest-facing roles In 2024, the American Hotel & Lodging Association reported over 2.15 million direct hotel jobs nationwide; among a representative sample of 1,000 properties, 8,000 new hires were added—a 22% year-on-year increase—yet roles traditionally held by immigrants, such as housekeeping, front-desk, and kitchen staff, saw only marginal growth.
- Housekeepers: Approximately 34% are foreign-born
- Cooks/Kitchen Staff: Roughly 24% are foreign-born
3. Labor Shortages Collide with Compliance Pressures
3.1 The Tight Labor Market
Since 2023, the hospitality industry has operated under severe labor constraints. The U.S. Travel Association reports that turnover rates in hotels hover near 70%, far above the national average across sectors, driven by low unemployment, wage inflation, and an aging workforce.
3.2 Vetting Delays and Operational Strain
Extended background checks introduce days—or even weeks—of processing delays. As Maria Gonzalez, general manager of a mid-sized Florida hotel chain, notes:
“Longer vetting processes can mean open positions stay vacant longer, which directly impacts guest satisfaction and revenue.”
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Post Urgent Hospitality Roles Now4. Accelerating Screening: Technology and Third-Party Solutions
To balance speed and diligence, many hoteliers are contracting with specialized screening vendors offering expedited background checks that integrate criminal history, employment verification, and automated immigration-status validation.
- Turnaround: 24–48 hours for combined criminal and I-9 verification
- Features:
- Multi-jurisdictional court record searches
- Electronic I-9 completion with E-Verify integration
- Automated alerts for missing or inconsistent documentation
A Q1 2025 Forbes analysis found that employers adopting these blended solutions can reduce average time-to-hire by up to 40% while maintaining compliance with evolving regulations
.5. Regional Variations in Enforcement Impact
- High-Immigrant Regions (California, Texas, Florida): Up to 45% jump in background check requests, reflecting large immigrant workforces and aggressive state-level audits citeturn0search11.
- Tourist Hotspots (New York City, Las Vegas): Central city hotels now dedicate up to 10% of HR staff to I-9 compliance and ICE coordination citeturn0search1.
- Smaller Markets: More modest increases, though best practices are being updated industry-wide.
6. Industry Advocacy and Compliance Beyond Checks
The American Hotel & Lodging Association (AHLA) is lobbying for sector-specific safe-harbor guidelines that protect good-faith hiring while clarifying enforcement standards citeturn0search1. Independent operators, facing uneven regional ICE approaches, are adopting the strictest nationwide protocols to mitigate risk.
Hotels are also strengthening:
- I-9 Auditing: Quarterly internal reviews and secure electronic records
- Anti-Discrimination Training: Ensuring consistent application of checks to avoid disparate-impact claims
- Data Security: Encryption and role-based access to candidate records
Legal experts warn that I-9 errors can incur fines up to $2,320 per violation plus reputational harm.
7. Policy Developments and Workforce Grants
7.1 Infrastructure Act Funding
The 2025 Infrastructure and Jobs Act allocates $15 billion to workforce development, including hospitality training grants. If disbursed, these funds could subsidize screening costs and support domestic upskilling, reducing overreliance on immigrant pipelines citeturn0search7.
7.2 Guest-Worker Visa Reforms
Proposed H-2B program changes include:
- Streamlined electronic visa processing
- Cap exemptions for hospitality
- Greater visa portability across employers
These reforms aim to stabilize staffing pipelines while maintaining compliance frameworks.
8. Community Engagement and Ethical Considerations
Hotels are partnering with nonprofits to:
- Offer Know-Your-Rights Workshops on documentation and anti-discrimination protections
- Provide Legal Aid Clinics for immigration-related questions
- Establish Diversity Councils to review hiring policies
Such efforts foster goodwill in immigrant communities and help sustain morale amid heightened vetting.
9. Conclusion
The 36% surge in background-check requests reflects the hospitality sector’s navigation of labor scarcity and renewed immigration enforcement. Technology-driven screening, clear policy guidelines, and community-focused initiatives offer pathways to balance compliance with operational needs. Sustained vigilance and adaptive strategies will be crucial for U.S. hotels to protect both their businesses and their diverse workforces through the remainder of 2025.
Frequently Asked Questions (FAQ)
Why have background checks increased in U.S. hotels?
In June 2025, DHS lifted restrictions on ICE workplace enforcement in hotels, farms, and restaurants, prompting hoteliers to tighten vetting—resulting in a 36% rise in checks compared to H1 2024
How do longer screening processes affect hotel operations?
Extended background and I-9 verification can delay onboarding by days or weeks, leaving positions vacant longer and impacting guest satisfaction and revenue
What solutions help balance speed and compliance?
Third-party expedited screening vendors offer combined criminal-record and automated immigration-status checks, reducing time-to-hire by up to 40% while meeting federal requirements.
Could legislative or visa reforms ease staffing pressures?
Proposed workforce-development grants under the 2025 Infrastructure Act and H-2B visa reforms—like cap exemptions and streamlined processing—aim to subsidize domestic training and stabilize guest-worker pipelines, potentially reducing reliance on rapid immigrant vetting.
