In a rare show of cross-party unity, Senators Ruben Gallego (D-AZ) and Jim Justice (R-WV) introduced the Keep Call Centers in America Act of 2025 on July 29, 2025, targeting the exodus of customer-service jobs overseas and the creeping encroachment of artificial intelligence. The legislation, now referred to the Senate Committee on Commerce, Science, and Transportation, seeks to safeguard roughly three million U.S. call-center positions amid projections from the Bureau of Labor Statistics of 150,000 job losses by 2033 due to offshoring and downsizing. “If you’re calling customer service, chances are your day isn’t going great. On those frustrating days, you should be able to talk to a real human being right here in the U.S.,” Sen. Gallego said in a press release.

The bill arrives as consumer frustration mounts, with a Data for Progress survey cited by sponsors revealing that 70% of Americans find automated phone systems more aggravating than live representatives. Communications Workers of America (CWA) Director of Government Affairs Dan Mauer endorsed the measure, stating, “This much-needed legislation protects U.S. call center jobs and addresses the growing threats posed by artificial intelligence and offshoring.” A companion bill, H.R. 4954, was introduced in the House by Reps. Kristen McDonald Rivet (D-MI) and Brian Fitzpatrick (R-PA), signaling broader congressional momentum despite no hearings or votes as of January 2026.

Bill’s Core Weapons Against Job Flight

Under Title I, companies with 50 or more full-time employees—or those employing 50 workers totaling at least 1,500 hours weekly—must notify the Department of Labor 120 days before relocating call centers abroad or contracting such work overseas, facing up to $10,000 daily civil penalties for noncompliance. The DOL would publish a public blacklist lasting five years, barring listed firms from new federal grants or guaranteed loans, imposing 8.3% monthly penalties on existing awards, and risking cancellation after one year. Non-listed firms gain contract preferences, while federal agencies must mandate U.S.-based call work in all contracts. “West Virginians and all Americans deserve good service. When folks pick up the phone and ask for help, they shouldn’t have to deal with AI robots or be routed to someone across the world,” Sen. Justice declared.

Within a year of enactment, the DOL must report to Congress on federal call-center operations’ locations, volumes by employees versus contractors, and AI-driven job losses in government customer service. Exceptions allow waivers for national security or environmental harms, but the provisions aim to redirect taxpayer dollars from offshoring incentives.

Mandating Transparency in Every Call

Title II empowers the Federal Trade Commission to enforce disclosures at the outset of customer interactions: agents must reveal their physical location and any AI involvement, transferring callers immediately to U.S.-based humans upon request—even via voice command. Noncompliance violates the FTC Act, with full enforcement powers including penalties. The FTC must issue regulations within one year, applying to businesses meeting the size threshold, excluding U.S.-based entities, consumer-initiated foreign calls, or emergencies. Annual compliance certifications are required. Sen. Gallego, in a CBS News interview, acknowledged AI’s inevitability: “If someone has a really good experience with an AI bot, there won’t be a problem as long as that person knows they’re talking to AI versus to a human.”

These rules address data-security risks, as Gallego noted concerns over sensitive information shared offshore. CWA’s Mauer highlighted how firms historically offshored to dodge union wages, now using AI to “de-skill and speed up work and displace jobs, which undermines worker rights and degrades service quality.”

Industry Tremors and Economic Stakes

The bill’s penalties could multiply costs for financial-services firms already under regulatory scrutiny for overseas operations, per analysis in the National Law Review. U.S. business-process outsourcers stand to gain as companies weigh domestic hiring against cheaper foreign or AI alternatives. Recent X discussions, including calls from users like @vibecodeprof for its passage to end “torture” from subpar foreign support, reflect grassroots support amid stalled progress.

Philippine BPO sectors, reliant on U.S. inbound work, brace for impacts, with consultants warning of higher office vacancies if enacted. Domestically, family-owned U.S. centers hail it for bolstering local economies, as noted in Reddit threads on r/CallCenterWorkers.

Legislative Path and Broader Ramifications

As of early 2026, S. 2495 lingers in committee with no hearings scheduled, mirroring H.R. 4954’s status. Analysts like those at CX Today argue it aligns with best practices by retaining experienced U.S. talent for speed, clarity, and control—priorities in Metric Sherpa research. Yet critics, including a CustomerThink post, warn it may accelerate AI deployment to skirt human offshoring bans.

For industries from telecom to banking, compliance looms one year post-enactment, demanding operational overhauls, training, and potential rehiring. Rep. Fitzpatrick emphasized, “When call center jobs are sent overseas, it weakens our economic security, erodes consumer protections, and removes jobs and investment from our communities,” via his press release.

AI’s Inescapable Advance Meets Political Pushback

While not banning AI, the act forces transparency amid warnings from OpenAI’s Sam Altman of a future without human service. TechTarget notes it could “rewire” contact centers, benefiting U.S. vendors as firms shun places like India and the Philippines. X users decry offshoring’s daily toll, urging votes alongside H1B reforms.

The measure embodies a policy pivot tying federal perks to domestic retention, per Financial Services Perspectives. If advanced, it could reshape a $400 billion-plus industry, prioritizing privacy, quality, and jobs over cost-cutting.