10 Things Contact Center Ops Leaders Should Know About the Keep Call Centers in America Act (S. 2495)

The Keep Call Centers in America Act (S. 2495) could alter how contact centers handle staffing, vendors, and compliance — impacting costs, contracts, and core KPIs. Here are 10 things contact center ops leaders should know about the proposed bill:

1. Scope & Status

Introduced July 29, 2025, by Senator Ruben Gallego (D‑AZ) with bipartisan support. Referred to the Senate Commerce, Science, and Transportation Committee.

Why This Matters: While not yet law, the Keep Call Centers in America Act has bipartisan attention and potential implications for any operation with offshore support.

2. Advance Notice & Public Disclosure List

If passed, this bill requires employers to give the Department of Labor (DOL) 120 days’ notice before relocating or outsourcing call center work outside the U.S. Violations are subject to civil penalties of up to $10,000 per day.

A public list will name those who relocate call centers offshore, with a path to removal from the list if they bring operations back or amend contracts “to require that all employees performing call center work under the contract or agreement will be located in the United States.”

Implication: Public visibility introduces brand and reputation considerations alongside compliance risk.

3. Impact On Federal Funding

Companies on the offshoring list lose eligibility for new federal grants and guaranteed loans for five years. For direct and indirect awards already granted, penalties (8.3% monthly reductions) are triggered by being placed on the DOL list and may result in full revocation after one year.

Action Needed: If your organization receives federal support, analyze your exposure and plan accordingly.

4. Contracting Preferences For U.S.-Based Operations

Federal agencies must prioritize organizations that keep call center work onshore. All call center activity under federal contracts, direct or through a vendor, must occur within the U.S.

Strategic Value: Compliance with the Keep Call Centers in America Act may support long-term competitiveness in government contracting.

5. Customer-Facing Disclosure Requirements

At the beginning of any customer interaction, agents must state their physical location and, if applicable, offer customers a way to reach a U.S.-based representative. Any use of AI must be disclosed immediately, with an option to speak to a U.S.-based human. No location disclosure is required if all participating employees or agents are in the U.S. or if the customer knowingly contacted a foreign entity

“To protect consumers, the bill would mandate that call center workers immediately disclose their physical locations to callers, and disclose whether AI is being used.” — Megan Cerullo for Money Watch

Risk: Failing to disclose AI or offshore locations can lead to regulatory violations and loss of customer trust.

6. Oversight & Reporting Mandates

Within one year, the DOL must deliver a full report detailing the scope of federal call center operations by location, employment type, workforce impacts, and job losses tied to AI. Likewise, annual certification to the Federal Trade Commission (FTC) is required, and the FTC must issue regulations within one year. Under existing consumer protection laws, the FTC will enforce AI and location disclosure rules.

Preparation Tip: Leaders should strengthen internal data and reporting systems in advance.

7. Applicability Based On Size & Volume

The Keep Call Centers in America Act has 2 sets of applicability rules:

Title I (notice, list, federal funding, and contracting provisions) applies to employers with:

• 50 or more full-time call center staff
• At least 1,500 aggregate hours per week
• More than 30% of call volume has been shifted overseas, compared to the prior 12-month average

Title II (disclosure requirements) applies broadly to all business entities engaged in customer service communications, regardless of size or volume.

Clarity: Applicability is based on your agent locations and/or how much of your call volume is handled offshore.

8. Vendor Compliance Is Your Responsibility

If you contract vendors with offshore call centers, your organization can be placed on the federal offshoring list and face related penalties. For disclosure rules, businesses must ensure that their employees and agents, including vendors acting on their behalf, comply with location and AI transparency requirements.

Next Step: Review all vendor agreements and incorporate new audit and compliance language now.

9. State-Level Precedents Offer A Preview

States like Connecticut, Washington, and New York already enforce similar measures:

• CT: 100-day notice; 5-year funding ban.
• WA: 120-day notice; $10K/day fines.
• NY: 90-day notice; civil penalties and back wages.

Several other states are advancing bills requiring AI disclosure to customers.

Conclusion: Federal regulation may align with and accelerate trends already in motion at the state level.

10. AI Transparency Is A National Concern

Customer frustration with automated systems has reached critical levels. Legislators are focused on giving consumers a clear path to human service and ensuring they know when AI is involved.

“We are concerned about what it means for American consumers if they're not talking to a human based in the U.S., when it comes to security around their private information.” — Senator Ruben Gallego (D-AZ)

“This much-needed legislation protects U.S. call center jobs and addresses the growing threats posed by artificial intelligence and offshoring.” — Dan Mauer, Director of Government Affairs, Communications Workers of America (CWA)

Ops Leader Priority: Review all AI touchpoints and build out clear escalation paths.

Strategic Takeaways For Contact Center Ops Leaders

As legislation like S. 2495 gains momentum, contact center leaders should treat compliance as a business and legal decision. Depending on how you respond, these shifts create risk and opportunity.

Compliance Is A Strategic Advantage

Beyond avoiding penalties, maintaining domestic operations and disclosure processes can strengthen your position in federal contracting and protect access to grants and loans.

Where To Focus:

1. Review exposure to federal funding or contracts
2. Position U.S.-based operations as a differentiator

Disclosure Is Now An Operational Priority

The law makes location and AI transparency non-negotiable. Operations leaders must lead the charge in building compliant workflows.

Next Steps:

1. Build scripts and protocols for agent and AI disclosures
2. Train supervisors to monitor and enforce compliance

Vendors Are Now A Source Of Legal Risk

Outsourced partners must meet the same standards. If your vendor fails to disclose or moves work offshore, you're on the hook.

Actions To Take:

1. Update contracts and SLAs with clear compliance terms
2. Audit vendors for location tracking and disclosure capabilities

Onshoring Requires Strong Frontline Leaders

One reason companies offshore is to reduce supervisory complexity and lower labor costs. If your strategy shifts toward reshoring, you’ll need high-performing frontline managers who can drive retention, productivity, and consistency at scale without increasing overhead or burnout.

Leadership Priorities:

1. Strengthen your pipeline of U.S.-based team leads and supervisors
2. Standardize expectations and coaching to reduce variability across locations
3. Invest in development tied to your KPIs like attrition, CSAT, and FCR

Looking for a practical framework to prepare for S.2495?

Download the CMP Public Policy Toolkit to assess your organization’s readiness for reshoring, AI disclosures, and vendor accountability.

Pathstream & CMP: Preparing U.S. Teams For Reshoring

As reshoring becomes a strategic imperative, U.S.-based contact centers must deliver more, with tighter margins and less room for error. That means strengthening frontline leadership and standardizing team performance without adding complexity.

Pathstream is the only provider offering CMP-aligned training programs that are:

• Based on the CMP Certified competency model, the national standard for modern contact center excellence
• Delivered off-the-clock as college-credit certificate programs in partnership with top-tier universities
• Designed to help teams measurably improve retention, productivity, and customer satisfaction

In fact, organizations aligned with the CMP competencies have reported:

• 50% reductions in attrition
• 20% gains in customer satisfaction

CMP defines the standard. Pathstream helps leaders meet it, without disrupting daily operations.

Explore how Pathstream supports CMP Certification »