Cognizant PERM filings suspended amid U.S. visa fraud probe

The United States Department of Labor has suspended permanent labor certification (PERM) filings for technology services firm Cognizant. The suspension is part of a broader federal investigation into alleged visa fraud and labor market abuses conducted alongside the White House Fraud Task Force.

Labor Department Inspector General Anthony D’Esposito announced the enforcement action, stating that “threats to American workers will NOT be tolerated.” While the specific allegations against Cognizant have not been detailed, public case-status data indicates that a significant number of the company’s pending PERM applications are currently on hold. The Inspector General also noted that PERM filings for the data software company Cloudera have been suspended under the same initiative.

The PERM process is a foundational step for employers seeking to sponsor foreign nationals for employment-based green cards. This crackdown may have broader implications for the Indian IT services sector, which frequently utilizes these immigration programs to staff projects in the United States.