‘Keep Call Centers in America Act’ Explained

The U.S. Senate is reviewing a new measure—officially titled the Keep Call Centers in America Act of 2025—that would impose strict disclosure requirements, federal funding restrictions, and operational mandates on businesses that relocate or contract call center operations overseas. With bipartisan sponsorship, the Bill has moved into committee review and is attracting attention for its potential to reshape how U.S.-based customer service functions operate.

PUBLIC LIST OF OFFSHORING EMPLOYERS

At the heart of the Bill is the creation of a publicly available database of employers that move call center work out of the country. According to the Bill, “Not fewer than 120 days before relocating a call center outside of the United States or contracting call center work overseas, an employer shall notify the Secretary [of Labor] of such relocation or contracting.”

Failure to provide this notice could result in civil penalties “not to exceed $10,000 for each day of violation” under Section 101(a)(1)(B). Once notified, the Secretary of Labor must establish and maintain a list of such employers, accessible to the public, for a period of up to five years unless certain repatriation or contractual changes occur.

LOSS OF FEDERAL FUNDING ELIGIBILITY

Employers appearing on the list would face restrictions on access to federal financial support. Section 101(b)(1)(A)(i) states that an employer that appears on the list shall be ineligible to apply for or receive any direct or indirect Federal grants or Federal guaranteed loans for 5 years after having been added to the list.

There are exceptions for cases involving national security, significant U.S. job losses, or environmental harm, but otherwise, the penalty is sweeping. For those with existing awards, penalties include monthly payments equal to “8.3 percent of the total grant or loan payment” already disbursed, and the suspension of further disbursements.

PREFERENCE IN FEDERAL CONTRACTING

Federal procurement rules would also be affected: “The head of an agency, when awarding a civilian or defense-related Federal contract, shall give preference to a United States employer that does not appear on the list.”

The Bill further requires that any call center work under federal contracts be performed domestically, stating that any call center work performed in connection with the contract or any subcontract under the contract shall be performed inside the United States.

WORKER BENEFITS NOT AFFECTED

To address concerns that employees of relocating companies might lose their safety nets, the Bill includes a safeguard in Section 102: “No provision of this title shall be construed to permit withholding or denial of payments, compensation, or benefits under any provision of Federal law… to workers employed by employers that relocate operations outside the United States.”

This ensures that unemployment insurance, disability payments, and retraining funds remain accessible to affected workers.

FEDERAL CALL CENTER LOCATION REPORT

The Bill directs the Secretary of Labor to report to Congress, within one year of enactment, on the location and scale of federal call center work, including “any job losses associated with the introduction or use of artificial intelligence for customer service” in federal operations.

MANDATORY DISCLOSURES IN CUSTOMER SERVICE CALLS

Title II of the Bill shifts focus to consumer transparency. The Bill mandates that at the beginning of each customer service communication, each BPOs' employees or agents must disclose (A) their physical location; and (B) if their physical location is outside of the United States, that the consumer may request to be immediately transferred to a customer service agent physically located in the United States.

Similarly, businesses using AI for customer service must reveal this at the outset of the interaction. Upon request, transfers must occur “immediately.”

ANNUAL COMPLIANCE CERTIFICATION

Every business that participates in customer service communications must annually certify to the Federal Trade Commission (FTC) whether it has complied with the disclosure and transfer requirements. The FTC is tasked with issuing regulations to implement these provisions within a year of enactment.

POTENTIAL IMPLICATIONS FOR BELIZE’S BPO INDUSTRY

While the Bill is U.S.-focused, its provisions could ripple into international labor markets—particularly in countries with large business process outsourcing sectors. Belize’s BPO industry, which now employs more than 18,000 people, serves U.S.-based clients. If enacted, the mandatory onshore performance requirements for federally linked contracts, combined with the public listing of offshore employers and consumer location-disclosure rules, could pressure U.S. companies to reduce or limit outsourcing to Belize. The extent of the impact would depend on the proportion of Belizean-based call center work linked to U.S. federal contracts or companies sensitive to U.S. consumer perception regarding overseas operations.

EFFECTIVE DATES AND LEGISLATIVE OUTLOOK

Most of the Bill’s requirements would take effect one year after enactment, providing businesses time to adapt. The bipartisan sponsorship, combined with heightened public interest in keeping U.S. jobs onshore and increasing transparency in customer interactions, suggests the measure may continue to advance through Congress.