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On 8 September 2026 the US Department of Labor temporarily suspended new PERM (Permanent Labor Certification) filings by Cognizant, and about an hour later by Cloudera.
The suspensions, announced by Labor Department Inspector General Anthony D'Esposito, come under a probe launched on 8 July 2026 into alleged fraud in the H-1B and PERM programmes.
PERM is the first step for most employer-sponsored green cards; existing approvals and H-1B visas are not cancelled, and no charges had been filed.
The action came a day after Cognizant pledged to hire 1,500 US college graduates.
| Feature | H-1B | PERM |
|---|---|---|
| Nature | Non-immigrant (temporary) work visa | Labour certification — step towards an immigrant visa |
| Leads to | Temporary work in a speciality occupation | Employment-based green card (permanent residence) |
| Agency | Petition processed by USCIS | Certified by the US Department of Labor |
| Employer must show | Wage and job conditions for a speciality occupation | No qualified, willing US worker is available; no harm to US wages |
US presidential proclamation imposes a US$100,000 fee on new H-1B petitions (effective 21 September 2025)
Labor Department's Inspector General launches probe into H-1B and PERM fraud
Cognizant announces plans to hire 1,500 US college graduates
PERM filings of Cognizant and Cloudera suspended
Certifies PERM applications; its Office of Inspector General is running the fraud probe
Processes H-1B petitions and immigration and naturalisation benefits; part of the Department of Homeland Security
GS Paper II > Effect of policies of developed countries on India's interests and diaspora
General Awareness > International affairs; IT sector
Permanent Labor Certification — DOL process an employer completes before sponsoring a foreign worker for a green card
US non-immigrant visa for temporary work in speciality occupations
Document of US lawful permanent residence