Cognizant Green Card Filings Frozen: The US Department of Labor delivered a blunt message on social media this week, and it landed directly on one of the country’s largest sponsors of foreign tech talent. On September 8, 2026, Department of Labor Inspector General Anthony D’Esposito announced that permanent labor certification filings, commonly known as PERM filings, have been suspended for Cognizant Technology Solutions and Cloudera, the foundational first step employers use to sponsor foreign workers for green cards. D’Esposito posted the news directly on X, writing that fighting fraud is a team sport and warning that threats to American workers will not be tolerated, before following up an hour later to confirm Cloudera’s filings were suspended as well.
This is not an isolated incident. It is the latest and most consequential move yet in a nationwide investigation the Department of Labor’s Office of Inspector General launched on July 8, 2026, in coordination with the White House Fraud Task Force, the Department of Homeland Security, and the Department of Justice, targeting alleged fraud and abuse across the H-1B and PERM visa systems. For Cognizant specifically, the suspension carries real weight, since USCIS figures show the company secured 3,510 H-1B visa approvals through June 30 this year, down sharply from 9,413 approvals back in 2020, meaning even a company already scaling back its visa reliance now faces a complete halt on its green card pipeline. We’ll be updating this article monthly as the investigation, any formal charges, and Cognizant’s response continue to develop.
What Actually Happened: The Suspension Explained
Understanding exactly what was suspended, and what was not, is critical for anyone trying to assess the real scope of this action rather than relying on headlines alone.
| Detail | Information |
|---|---|
| Companies affected | Cognizant Technology Solutions and Cloudera |
| What was suspended | New Permanent Labor Certification, or PERM, filings |
| Announcement date | September 8, 2026 |
| Announced by | Anthony D’Esposito, Inspector General, US Department of Labor |
| Announcement method | Posts on the social media platform X |
| Legal basis | Ongoing fraud investigation coordinated with the White House Fraud Task Force |
| Investigation origin | Nationwide probe launched by DOL OIG on July 8, 2026 |
| Practical effect | Cognizant and Cloudera cannot file new PERM applications until the investigation concludes |
What Is PERM and Why Suspending It Matters So Much
For anyone unfamiliar with employment-based green card sponsorship, understanding PERM explains exactly why this suspension is such a serious blow rather than a minor procedural setback.
- PERM, or Program Electronic Review Management, is the Department of Labor process that forms the first required step for most employment-based green card sponsorships, specifically in the EB-2 and EB-3 categories
- To receive PERM certification, a sponsoring employer must demonstrate two things: that there are no able, willing, qualified, and available US workers for the position, and that hiring a foreign worker will not adversely affect the wages or working conditions of similarly employed US workers
- Without an approved PERM certification, an employer cannot move forward with the subsequent stages of the green card process, including the Form I-140 immigrant petition and final adjustment of status
- A suspension at the PERM stage effectively freezes the entire green card pipeline for the affected company, halting new cases before they can even begin, regardless of how far along a particular employee’s broader immigration case may be
Is It Hard to Refinance Student Loan, and What Are the Pros and Cons of Doing It?
Tax Filing Season 2027: IRS Start Date, Deadlines and Refund Schedule
SNAP Maximum Benefits FY2027 Confirmed: Family of Four Gets Up to $1,023 (Effective Oct 1, 2026)
The July 2026 Investigation That Set the Stage
This week’s suspension did not emerge out of nowhere. It is the direct outcome of a fraud and enforcement campaign that Department of Labor leadership had been building for months.
| Date | Milestone |
|---|---|
| July 8, 2026 | DOL Office of Inspector General formally launches a major investigation into alleged fraud and human trafficking in the H-1B and PERM systems |
| July 2026 | Investigation described as coordinated with President Trump and Vice President Vance’s Task Force to Eliminate Fraud, alongside DHS and DOJ |
| Throughout mid-2026 | Investigators issue dozens of subpoenas to companies and labor brokers suspected of manipulating the visa system |
| July 1, 2026 | DOL’s Wage and Hour Division separately expands its H-1B willful violator debarment list, naming four employers barred from sponsoring new H-1B workers |
| September 8, 2026 | Cognizant’s PERM filings publicly announced as suspended, followed within the hour by the same action against Cloudera |
According to officials, the July investigation had already identified schemes in which employers and labor brokers allegedly submitted fraudulent applications, engaged in coercive wage-kickback arrangements with foreign workers, and undercut American workers by flooding the labor market with below-prevailing-wage labor.
Why Cognizant Specifically Became a Target
Cognizant’s history as one of the largest users of the H-1B and PERM systems has made it a natural focal point as enforcement activity has intensified this year.
- Cognizant was founded in Chennai, India in 1994 and is now headquartered in Teaneck, New Jersey, built on a business model that has historically relied heavily on sponsoring workers from India for US-based technology roles
- USCIS data shows Cognizant secured 3,510 H-1B visa approvals through June 30 of this year, a steep decline from 9,413 approvals in 2020, reflecting a broader multi-year trend of reduced reliance on the program even before this week’s suspension
- The company has faced scrutiny in prior years over allegations that its business model depended on lower-cost foreign labor, including a widely reported 2024 analysis of internal HR data and federal wage records showing pay for the company’s H-1B workers had declined over time even as broader industry wages held steady
- The current suspension specifically targets alleged irregularities in Cognizant’s H-1B and PERM practices, according to the Department of Labor, though the agency has not yet publicly detailed the specific fraudulent conduct alleged
What This Means for Cognizant Employees Already in the Green Card Pipeline
For workers whose PERM cases were already filed before this suspension, or whose broader green card process is further along, the practical impact requires careful distinction.
| Case Status | Likely Impact |
|---|---|
| New PERM applications not yet filed | Cannot currently be submitted for Cognizant or Cloudera sponsorship |
| PERM applications already filed and pending before the suspension | Status of these existing filings has not been publicly detailed by the Department of Labor |
| Employees whose PERM was already certified and who have moved to Form I-140 or later stages | Generally considered a separate, later stage of the process, though broader company-level scrutiny could still create downstream uncertainty |
| H-1B status for current employees | The suspension applies specifically to PERM green card filings, not directly to existing H-1B work authorization, though the investigation covers both programs |
Because the Department of Labor has not released detailed guidance on how currently pending cases will be handled, affected employees should treat any public statements from Cognizant or immigration counsel as the most reliable source of case-specific information.
IRS Identity Protection PIN: How to Get One and Stop Tax Fraud
Express Entry Labour Shortage Categories 2027: What Canada May Tighten?
How This Fits Into the Broader 2026 Immigration Enforcement Push
This suspension arrives amid a year already defined by aggressive federal action across nearly every part of the employment-based immigration system, making it part of a much larger pattern rather than a standalone event.
- The Department of Labor launched Project Firewall in September 2025, an initiative specifically focused on stepping up compliance audits of H-1B program participants
- A separate presidential proclamation imposed a $100,000 fee on many new H-1B petitions for workers abroad starting September 21, 2025, a policy that recently released DHS data shows caused lottery entries to collapse by 85 to 100 percent among the most heavily affected IT staffing firms
- The Wage and Hour Division’s H-1B willful violator list, updated July 1, 2026, has already barred several employers from sponsoring new H-1B workers through 2027 or 2028
- Officials have described the current PERM and H-1B fraud investigation as one of the most aggressive enforcement campaigns an inspector general has pursued in this area, with investigators actively issuing subpoenas and pursuing what the agency has characterized as widespread schemes
What Happens Next in the Investigation
For Cognizant, Cloudera, and any other companies that may face similar action, the path forward depends entirely on how the Department of Labor’s investigation concludes.
- The suspension remains in place until the Department of Labor’s investigation into alleged fraud involving Cognizant’s H-1B and PERM practices is completed
- Depending on investigative findings, outcomes could range from clearing the company to resume normal PERM filings, to formal enforcement action, financial penalties, or a longer-term debarment similar to the willful violator designations already issued against smaller employers
- The Department of Labor’s Inspector General has publicly signaled the investigation extends well beyond Cognizant and Cloudera, describing ongoing subpoenas and active pursuit of additional companies and labor brokers suspected of similar conduct
- Legal experts note this kind of PERM suspension based on an active investigation is a significant escalation compared to the individual employer debarments issued earlier in 2026, since it affects a company processing thousands of visa cases rather than a smaller, single employer
How Affected Workers and Employers Should Respond
Given the suspension’s immediate and company-wide scope, both current employees and the broader industry need a clear sense of what actionable steps make sense right now.
- Cognizant employees with pending or planned PERM cases should contact their company’s immigration counsel or HR department directly for case-specific guidance, since the Department of Labor has not published detailed public instructions for affected individuals
- Employers at other companies facing similar exposure should review their own H-1B and PERM compliance practices proactively, particularly around prevailing wage documentation and recruitment procedures, given the current enforcement climate
- Workers should monitor official Department of Labor and USCIS communications directly rather than relying solely on news coverage or social media posts, since case-specific guidance typically follows through formal regulatory channels
- Companies under investigation, or concerned about similar exposure, should consult immigration and labor law counsel promptly, given the pace at which this enforcement campaign has escalated since its July 2026 launch
UPS Tariff Refund: Who Is Eligible to Get One and How Can You Apply?
Ontario Minimum Wage Rises to $17.95 on Oct 1, 2026
SNAP Income Limits FY2027 Confirmed: Single Applicants Capped at $1,729, Family of Four at $3,575
Official Resources for Checking PERM and H-1B Status
Given the fast-moving nature of this investigation, workers and employers should rely on official government sources rather than secondhand reporting for the most current, authoritative information.
| Resource | Purpose | Official Link |
|---|---|---|
| Department of Labor PERM system | Official PERM filing portal and case status | plc.doleta.gov |
| DOL Office of Inspector General | Official investigation announcements and press releases | oig.dol.gov |
| DOL Employment and Training Administration, Foreign Labor Certification | General PERM program information and requirements | dol.gov/agencies/eta/foreign-labor |
| USCIS Form I-140 information | The immigrant petition stage that follows PERM certification | uscis.gov/i-140 |
| DOL Wage and Hour Division H-1B enforcement | Willful violator list and related enforcement actions | dol.gov/agencies/whd/immigration |
| USCIS case status tool | Track existing immigration petitions filed with USCIS | egov.uscis.gov/casestatus |
Processing Time: What the Suspension Means for Timelines
Even under normal circumstances, PERM processing already involves a lengthy, multi-stage timeline, and this suspension adds further uncertainty specifically for Cognizant and Cloudera cases.
| Stage | Typical Timeline Under Normal Circumstances |
|---|---|
| PERM recruitment and preparation | Several months, involving required job postings and recruitment steps |
| PERM filing to certification, when not suspended | Historically several months to over a year, depending on Department of Labor backlogs |
| Current status for Cognizant and Cloudera | New PERM filings cannot proceed at all until the investigation concludes, with no announced timeline for resolution |
| Cases filed before the suspension | Processing status not yet publicly clarified by the Department of Labor |
Payment Schedule: Costs and Financial Exposure for Affected Employers
Beyond the immediate filing freeze, companies under this kind of investigation typically face broader financial considerations tied to compliance and potential enforcement outcomes.
- PERM filing itself does not involve a government filing fee, but employers incur substantial costs through required recruitment advertising and legal fees, all of which are now on hold for new Cognizant and Cloudera cases
- Companies found to have committed the kind of fraud alleged in this investigation could face financial penalties, back-wage obligations to affected workers, and potential debarment from future visa sponsorship, similar to penalties already imposed on smaller employers on the willful violator list
- Affected employees generally do not bear direct filing costs for PERM under federal rules, since employers are required to cover PERM-related expenses, though the current suspension creates indirect financial uncertainty for workers whose immigration timelines and career planning now face unexpected delays
- Companies under investigation should maintain detailed records of all PERM-related compliance documentation, since these records will likely be central to the outcome of the Department of Labor’s ongoing review
FAQs About Cognizant Green Card Filings Frozen
Why did the US suspend Cognizant’s green card filings?
The Department of Labor suspended Cognizant’s PERM filings on September 8, 2026 as part of an active investigation into alleged fraud involving the company’s H-1B and PERM visa practices.
What is PERM and why does the suspension matter?
PERM, or Permanent Labor Certification, is the required first step for most employment-based green card sponsorships in the EB-2 and EB-3 categories, meaning the suspension halts new green card sponsorship cases for Cognizant and Cloudera entirely.
Is Cloudera also affected by this suspension?
Yes. The Department of Labor announced Cloudera’s PERM filings were suspended within an hour of the Cognizant announcement, as part of the same broader investigation.
How long will Cognizant’s PERM filings remain suspended?
The Department of Labor has not announced a specific timeline. The suspension remains in effect until the agency’s investigation into alleged fraud is completed.
Does this suspension affect current Cognizant employees already working on H-1B visas?
The suspension specifically targets new PERM green card filings. It does not directly suspend existing H-1B work authorization, though the underlying investigation covers both the H-1B and PERM programs.
What triggered the broader investigation into Cognizant and Cloudera?
The investigation stems from a nationwide fraud probe the Department of Labor’s Office of Inspector General launched on July 8, 2026, in coordination with the White House Fraud Task Force, the Department of Homeland Security, and the Department of Justice.
How many H-1B visas has Cognizant received recently?
USCIS data shows Cognizant received 3,510 H-1B visa approvals through June 30 of this year, down significantly from 9,413 approvals in 2020.
What happens to PERM applications Cognizant filed before the suspension?
The Department of Labor has not publicly clarified how previously filed, pending PERM applications will be handled during the investigation.
Is this part of a larger crackdown on H-1B and PERM programs?
Yes. This suspension follows the Department of Labor’s Project Firewall initiative launched in 2025, a separate $100,000 H-1B fee proclamation, and an expanded willful violator debarment list, all part of intensified 2026 enforcement of employment-based immigration programs.
Can Cognizant appeal or resolve this suspension?
The suspension is tied to an active investigation rather than a final enforcement determination, meaning the path forward depends on the outcome of that investigation, which could range from clearance to formal penalties or longer-term debarment.
Conclusion
The suspension of Cognizant and Cloudera’s PERM filings marks one of the most direct enforcement actions the Trump administration’s Department of Labor has taken against a major employment-based immigration sponsor this year, arriving just months after a nationwide fraud investigation was formally launched in July 2026. For Cognizant specifically, a company already navigating a multi-year decline in its H-1B sponsorship numbers, the suspension effectively halts its entire green card pipeline for new cases while investigators examine alleged fraud in its H-1B and PERM practices. With no announced timeline for resolution and the broader investigation reportedly still active against additional companies and labor brokers, affected workers and employers alike are left navigating significant uncertainty. As the investigation proceeds and Cognizant’s response develops, check back here, since this article is reviewed and updated with the latest confirmed information each month.
SSDI Pay Chart: The Least Amount You Can Get Per Month and the Most Common Disabilities
Ohio SNAP Sugary Beverage Ban Delayed: What Happened and Why
