Cognizant PERM Filings Suspended: What’s the Reality?

The US Department of Labor has suspended Cognizant’s new PERM filings, a key step in the employment-based Green Card process, amid an investigation into alleged fraud and misuse of employment visa programmes.

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The action was announced on September 8, 2026, by Anthony D’Esposito, Inspector General at the US Department of Labor.

The department said the investigation is being conducted with the White House Fraud Task Force and other authorities. Cloudera has also faced a suspension of PERM filings.

What the PERM Suspension Means

PERM, or Program Electronic Review Management, is the labour certification process that US employers generally complete before sponsoring eligible foreign workers for employment-based Green Cards.

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Under the process, an employer must show that there are no sufficient, willing and qualified US workers available for the position and that employing the foreign worker will not adversely affect the wages and working conditions of similarly employed US workers.

The current action prevents Cognizant from filing new PERM applications while the investigation continues. It could therefore delay the Green Card process for employees whose cases have not yet reached the PERM stage.

However, the suspension does not mean that existing Green Cards have been cancelled. It also does not automatically cancel an employee’s existing H-1B status or previously approved immigration applications.

The immediate action concerns new PERM filings.

Impact on Indian IT Employees

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The development is significant for Indian technology professionals working in the US because Cognizant has a large workforce and is a major employer of foreign technology professionals.

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The suspension could create additional delays for employees who are waiting for their employers to start or complete the PERM stage of their Green Card process.

The impact could be more significant for some H-1B workers approaching the six-year limit, depending on the stage of their immigration case and whether they have an approved labour certification or other qualifying immigration filings.

The exact number of Cognizant employees affected has not been disclosed. The US Department of Labor has also not announced how long the suspension will remain in place.

Cognizant has not been publicly found guilty of fraud in connection with the current investigation.

Authorities are investigating alleged fraud and misuse involving employment-based immigration programmes, and further action will depend on the outcome of the investigation.

For Indian professionals, the development adds another layer of uncertainty to an already lengthy employment-based Green Card process, particularly for those dependent on employer-sponsored immigration pathways.