It's the same as any consulting arrangement, common in big companies. My current contracting client has about 20% of their IT staff in house, and the rest is co

It's the same as any consulting arrangement, common in big companies. My current contracting client has about 20% of their IT staff in house, and the rest is consultants like me. This is done often for accounting reasons: The employee is an expense, accounting-wise. I am paid out of a project, and employed only while the projects is there, so my salary is considered a capital investment. In my specific case, I am far more expensive than their employees, but accounting wise, my expense is far more convenient. I do not work for my contracting client: I work for an intermediate company. How I get paid, what is my visa status... it's all none of their business. The same thing happens here. No company is laying off Americans to hire H1-Bs. One company hires H1-Bs, another lays off Americans/Green card holders, and the companies just contract a price for the work. Disney can say they have no idea whatsoever of the immigration status of their contacted workforce. Is it shady? Absolutely. Do I like it? Not a bit. But it's not against the law. If there's anyone you could claim might end up in legal trouble at some point, it's the contracting firm, not Disney. But even then, I doubt it: Body shops don't hire a citizen or permanent resident that is any good, because anyone that is good will get better money and working conditions elsewhere. They really don't get applicants.