US suspends Cognizant green card filings

The US Department of Labour has temporarily halted Cognizant's green card filings for foreign workers under the Permanent Labour Certification program, known as PERM, amid an investigation into potential fraud and negative impacts on American workers. This suspension, announced by Labour Department Inspector General Anthony D. Esposito, targets Cognizant's PERM filings, a crucial step for employers seeking employment-based green cards for workers from overseas.

Esposito emphasized that threats to American workers will not be tolerated and that the Labour Department, along with the White House anti-fraud task force, is diligently investigating the allegations. The specific details of the allegations, the number of applications affected, and the duration of the suspension remain undisclosed.

The inspector general also revealed that Cloudera's PERM filings have been similarly suspended. No criminal charges have been filed against either company, and they have not responded to the actions taken. This move follows Cognizant's announcement to expand its US workforce, intending to hire 1,500 American graduates and increase its workforce by 15,000.

Cognizant CEO Ravi Kumar S highlighted the company's commitment to creating more jobs than it displaces, especially in the AI era, and joining the RAISE US coalition to support American workers in the artificial intelligence economy. The PERM program requires the Labour Department to certify that US workers are not available for a position and that hiring a foreign worker will not adversely affect American workers' wages and working conditions.

This suspension does not automatically mean the company's H-1B petitions are also suspended, as these are separate programs. Cognizant, headquartered in Teaneck, New Jersey, was founded in Chennai, India, in 1994 and maintains a significant presence there.