The Cognizant PERM suspension blocks new permanent labor certification filings as federal investigators examine alleged H-1B and PERM fraud. Cloudera remains under an earlier 180-day PERM processing freeze tied to a Justice Department recruitment case.

Cognizant PERM filings suspended

The U.S. Department of Labor has suspended Cognizant’s PERM filings as federal investigators examine alleged fraud involving the H-1B and permanent labor certification systems. Labor Department Inspector General Anthony D’Esposito announced the action on September 8, 2026, after his office launched a broader H-1B and PERM fraud investigation on July 8, 2026.

The suspension blocks new Cognizant PERM filings while the investigation continues. Federal officials have not publicly detailed specific allegations against the company or disclosed how many workers or cases may be affected.

Why PERM matters for green cards

PERM is generally required before many U.S. employers can sponsor foreign workers for employment-based permanent residence. The Labor Department must certify that sufficient qualified U.S. workers are not available and that hiring the foreign worker will not adversely affect comparable U.S. wages and working conditions.

The suspension does not, by itself, cancel an employee’s H-1B status. H-1B is a temporary work-visa program, while PERM is part of many employment-based green card cases.

Cloudera already under separate PERM freeze

Cloudera’s action predates the Cognizant suspension. On May 12, 2026, the Labor Department announced a 180-day suspension of processing for all PERM applications filed by or for Cloudera. The action followed an April 28 Justice Department lawsuit alleging that Cloudera used recruitment practices that unlawfully deterred U.S. workers from applying for certain technology jobs.

D’Esposito referenced Cloudera’s suspended PERM filings again on September 8, but the company’s suspension had already been publicly announced.

Impact on tech workers remains uncertain

Cognizant, headquartered in Teaneck, New Jersey, has a large technology workforce with deep ties to India. Employees expecting the company to begin new green card sponsorship cases could face delays while the freeze remains in place. Cognizant identifies Teaneck as its global headquarters.

The investigation is ongoing, and the suspension is not a finding that Cognizant committed fraud. Federal authorities have not announced a timetable for resolving the review or said whether additional enforcement action will follow.