I Ran the Numbers - All Industry Sectors

(Updated April 2026)

The U.S. Foreign Labor Levy, U.S. Foreign Student Enrollment Levy, and U.S. AI Utilization Levy form a comprehensive three-pronged framework targeting ~34 million labor substitution equivalents across U.S. industries.

Together, these proposals rebalance corporate and university incentives toward hiring, retaining, and educating qualified U.S. citizen workers and students by removing the profit and revenue advantages of legal noncitizen labor, foreign student enrollment, and AI-driven workforce substitution.

The framework is supported by three new NAICS codes that can be adopted immediately via Executive Order with zero congressional approval:

• NAICS 561399 – Foreign Labor Placement and Management Services 
• NAICS 611319 – International Student Enrollment and Compliance Services 
• NAICS 518219 – Workforce Automation and AI Substitution Services

Core Objectives

• Eliminate wage-based and cost-saving advantages that displace American citizen workers and students 
• Generate substantial revenue (~$3.73T – $4.33T over four years) to reinvest exclusively in U.S. citizen workforce training, apprenticeships, reskilling, scholarships, and hiring incentives 
• Ensure fairness in low-wage sectors such as agriculture and hospitality while accelerating shifts in higher-skill industries

The Three Levies

1. U.S. Foreign Labor Levy (4-Pillar, 4-Tier Framework)
Applies tiered levies on Work Visas/Employment, Payroll, Remittances, and Offshoring. Operates within a 4-tier salary structure (< $37K, $37K–$63K, $63K–$105K, > $105K). Low-wage tiers remain modest and relatively constant to protect industries where U.S. citizens are less likely to participate at current wage levels.

2. U.S. Foreign Student Enrollment Levy
Imposes measured, tiered costs on universities for each F-1/J-1 international noncitizen student, redirecting incentives toward domestic enrollment and funding citizen scholarships and educational opportunities.

3. U.S. AI Utilization Levy (tied to NAICS 518219)
A single escalating levy based on documented AI labor equivalents and annual cost savings from workforce substitution: 

• Small-scale: 8% of cost savings 
• Large-scale: 12% (Year 1) → 18% (Year 2) → 25% (Year 3)

Strong reversal incentives (up to 70% tax credits and 60% levy reduction) are provided to companies that prove net rehiring or retention of U.S. citizen workers.

Baseline: Current Usage and Costs (2026)Total Displacing Equivalents: ~34 million

• ~28.5 million documented noncitizen labor equivalents:
     – Offshore contractors (12.3M)
     – Green Card holders (10.8M)
     – Humanitarian (2.8M)
     – Visa workers (1.7M)
     – Foreign noncitizen students with work options (0.9M) 
• ~5.5 million AI & Automation labor substitution equivalents

Salary Distribution (BLS 2025–2026, adjusted):
< $37K: ~30% | $37K–$63K: ~40% | $63K–$105K: ~20% | > $105K: ~10%

Profit / Savings Edge: Noncitizen labor provides wage and flexibility advantages; AI delivers significant headcount reduction savings.

Projected Outcomes (2026–2029)

• Overall Reduction: 40–50% decline in total displacing equivalents (~13.6M – 17M fewer) 
• U.S. Citizen Restoration: ~10 – 13.5 million jobs and educational slots returned (conservative 40% overall return/reversal rate) 
• Combined Revenue: $3.73T – $4.33T over four years ($933B – $1.08T annualized)

All revenue will be reinvested in American citizen workers and students, with zero new taxes on U.S. citizens.

This integrated approach demonstrates that much of today’s displacement is driven by economic incentives that can be fairly rebalanced through targeted transparency (via the three NAICS codes) and accountability (via the three levies), while protecting sensitive low-wage sectors and encouraging responsible AI adoption.