Cognizant Faces US Green Card Suspension Amid Wider IT Crackdown
The US Department of Labor has suspended Cognizant's PERM filings amid a federal fraud investigation. This temporary freeze halts new employer-sponsored Green Card applications, creating uncertainty and processing delays for foreign tech professionals on H-1B visas.

Cognizant Green Card Sponsorship Suspended: What IT Workers Need to Know
Cognizant is facing a suspension of its US Green Card-related filings as the US Department of Labor intensifies scrutiny of employment-based immigration programmes. The action involves the company’s PERM labor certification filings, an important step in the employer-sponsored Green Card process.
The development could create uncertainty for Cognizant employees pursuing US permanent residency through their employer while also raising questions about whether scrutiny could extend to other companies in the IT sector.
Why Has Cognizant’s Green Card Sponsorship Been Suspended?
The US Department of Labor has suspended Cognizant’s PERM filings while investigators examine allegations involving the use of employment-based immigration programmes.
The investigation is reportedly looking into potential issues involving:
- Fraud connected to visa applications
- Wage-related practices
- Exploitation of foreign workers
- Practices that could disadvantage US workers
The Labor Department has not publicly established that Cognizant committed wrongdoing, and the duration of the suspension has not been disclosed.
How Could the Suspension Affect the Green Card Process?
PERM labor certification is an important stage for many employer-sponsored Green Card applications. Employers generally must obtain labor certification before moving forward with subsequent stages of the United States Green Card process.
A suspension of new PERM filings could therefore affect Cognizant employees who are waiting for their employer to begin or advance their Green Card cases.
For affected workers, this could mean:
- Delays in starting new Green Card sponsorship cases
- Greater uncertainty around green card processing time
- Potential complications for employees planning long-term US permanent residency
- Additional immigration planning for workers currently maintaining H1B visa status
Could the Green Card Sponsorship Suspension Spread to Other IT Companies?
The action against Cognizant comes amid broader US scrutiny of employment-based immigration, particularly within the technology and outsourcing sectors.
Labor Department officials have indicated that investigations into immigration-related practices could extend beyond a single company. However, the current action does not confirm that other Indian IT companies have been suspended or found to have violated immigration rules.
Any wider action would depend on the outcome of ongoing investigations and future enforcement decisions.
What Does This Mean for H-1B Workers Seeking a Green Card?
The development highlights an important distinction in the H1B vs Green Card pathway. While H-1B status provides temporary employment authorization, an employer-sponsored Green Card can provide a pathway to US permanent residency.
For IT professionals already working in the US, a delay in employer-sponsored Green Card filings could affect long-term immigration planning, particularly for those dealing with lengthy Green Card backlogs.
As US immigration authorities increase scrutiny of employment-based programmes, IT workers should closely monitor developments that could affect their IT workers Green Card process and consider their immigration options based on their individual circumstances.
For the latest updates on employer-sponsored Green Cards, PERM labor certification and US immigration policies, refer to official US government immigration resources.
Stay connected with Smart Immigrant for more updates on US immigration and policy changes.
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