Keep Call Centers in America Act of 2025
- Bill Number
- H.R. 4954
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Science, Technology, Communications
- Status
- Introduced
- Latest Action
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, Oversight and Government Reform, and Armed Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- Last Updated
- 2026-07-03T08:06:07Z
AI-Generated Summary
Purpose of the Legislation
The "Keep Call Centers in America Act of 2025" aims to discourage U.S. companies from moving call center operations overseas by creating penalties and restrictions on federal funding, while also requiring transparency in customer service interactions about agent locations and the use of artificial intelligence (AI). It seeks to protect American jobs, ensure federal contracts support domestic work, and inform consumers about where support is provided.
Key Provisions
- Notification and Public List (Title I, Sec. 101):
- Employers with call centers (defined as operations handling customer communications with at least 50 employees or equivalent hours) must notify the Secretary of Labor at least 120 days before relocating a call center or contracting out at least 30% of its work overseas.
- Failure to notify incurs a civil penalty of up to $10,000 per day.
- The Secretary must maintain and publicly share a list of violating employers for up to 5 years, removable if operations are brought back to the U.S. with comparable employment or contracts are amended to require U.S.-based work.
- Restrictions on Federal Funding (Title I, Sec. 101):
- Listed employers are ineligible for new federal grants or guaranteed loans for 5 years, with limited exceptions (e.g., if denial threatens national security, causes major U.S. job losses, or harms the environment).
- For existing grants/loans, listed employers face monthly penalties (8.3% of disbursed amounts), halted further payments, and potential cancellation after one year; penalties fund the original program but cannot benefit the same employer.
- Federal agencies must prioritize non-listed U.S. employers in awarding contracts.
- Protections for Workers and Federal Reporting (Title I, Secs. 102-104):
- The act does not allow denial of federal benefits (e.g., unemployment, disability, or retraining) to affected workers.
- The Secretary of Labor must report to Congress within one year on federal call center work locations, including employee vs. contractor breakdowns, sites, and AI-related job losses.
- All call center work under federal contracts (civilian or defense) must be performed in the U.S.
- Disclosure Requirements for Customer Service (Title II, Sec. 201):
- Business entities must have agents disclose their physical location at the start of communications (e.g., calls, emails); if overseas, inform consumers they can request transfer to a U.S.-based agent.
- If using AI (defined as machine systems generating outputs like decisions or recommendations), disclose its use and offer immediate transfer to a U.S.-based human agent (e.g., via voice command like saying "agent").
- Annual certification to the Federal Trade Commission (FTC) on compliance.
- Exceptions include fully U.S.-based operations, consumer-initiated contacts known to be foreign, emergency services, or FTC-exempted cases.
- Enforcement (Title II, Sec. 202):
- The FTC enforces disclosures as unfair or deceptive practices under existing law, with standard penalties and powers.
- Most provisions take effect one year after enactment.
Significant Changes to Existing Law
- Introduces new mandatory pre-relocation notifications and a public "blacklist" for overseas call center moves, which did not previously exist.
- Adds eligibility barriers and penalties to federal grants, loans, and contracts, overriding other laws unless exceptions apply; previously, such funding was not conditioned on call center locations.
- Mandates disclosures about agent locations and AI use in customer interactions, expanding FTC authority over business communications without prior equivalents.
- Requires all federal contract call center work to be U.S.-based, altering procurement rules to prioritize domestic operations.
Potential Impacts
- On Government Agencies: Increased administrative burdens for the Department of Labor (maintaining lists, reporting) and FTC (enforcement, regulations); federal procurement may favor certain bidders, potentially raising costs or limiting options.
- On Citizens: Consumers gain transparency and easier access to U.S.-based support, improving service experiences; workers in call centers may see job protections against offshoring, though AI could still displace roles.
- On Businesses: Companies face financial penalties, funding restrictions, and compliance costs for disclosures, possibly discouraging overseas moves but increasing operational expenses for U.S.-based services.
- On International Relations: May strain ties with countries hosting relocated operations by limiting U.S. business engagement abroad, promoting economic protectionism without direct trade sanctions.
Main Stakeholders Affected
- Employers and Business Entities: Call center operators (e.g., those with 50+ employees) face the heaviest burdens through notifications, lists, penalties, and disclosures.
- Consumers: Benefit from required transparency and transfer options in customer service.
- Federal Workers and Contractors: Impacted by mandates for U.S.-based federal call center work and reporting on AI/job losses.
- Government Agencies: Department of Labor (list and report), FTC (enforcement and regulations), and contracting agencies (preferences and conditions).
- Workers: Protected from benefit losses but potentially affected by AI or relocation trends.
Notable Legal, Constitutional, or Political Implications
- Legal: Relies on FTC's existing powers for enforcement, treating violations as unfair practices, which could lead to lawsuits or fines; civil penalties for notifications provide new administrative tools but require clear definitions (e.g., what counts as "relocation" at 30% volume threshold).
- Constitutional: Disclosures may raise free speech concerns under the First Amendment if seen as compelled speech, though likely defensible as commercial regulation; no direct challenges to interstate commerce noted, but exceptions for national security suggest deference to executive authority.
- Political: Promotes job protectionism, appealing to domestic labor interests, but could face opposition from global business groups over added regulations; bipartisan introduction (by Reps. McDonald Rivet and Fitzpatrick) indicates cross-aisle support for economic nationalism.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. McDonald Rivet, Kristen [D-MI-8]
Cosponsors (12)
Rep. Fitzpatrick, Brian K. [R-PA-1], Rep. Bacon, Don [R-NE-2], Rep. Deluzio, Christopher R. [D-PA-17], Rep. Goldman, Daniel S. [D-NY-10], Rep. Thanedar, Shri [D-MI-13], Rep. Stevens, Haley M. [D-MI-11], Rep. Tlaib, Rashida [D-MI-12], Rep. Dingell, Debbie [D-MI-6], Rep. Brownley, Julia [D-CA-26], Rep. Soto, Darren [D-FL-9], Rep. Frost, Maxwell [D-FL-10], Rep. Wasserman Schultz, Debbie [D-FL-25]
Recent Actions
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, Oversight and Government Reform, and Armed Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, Oversight and Government Reform, and Armed Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, Oversight and Government Reform, and Armed Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Referred to the Committee on Energy and Commerce, and in addition to the Committees on Education and Workforce, Oversight and Government Reform, and Armed Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-08-12: Introduced in House
- 2025-08-12: Introduced in House
Bill Versions
- Keep Call Centers in America Act of 2025 — issued 2025-08-12 — PDF (19 pages)