Trump Administration Halts Cognizant’s Green Card Applications Amid Fraud Investigation

The Trump administration has halted Cognizant’s ability to file new applications under a key employment-based green card program. This decision comes as federal authorities investigate alleged fraud linked to immigration programs utilized for hiring foreign workers. The action was confirmed by the U.S. Department of Labor’s Office of Inspector General.

Investigation Details

Labor Department Inspector General Anthony D’Esposito announced on X that Cognizant’s Program Electronic Review Management (PERM) filings were suspended. This investigation also includes the H-1B visa program. The process involves collaboration with the White House Fraud Task Force and other officials. D’Esposito emphasized that threats to American workers are unacceptable.

H-1B processing for another tech firm, Cloudera, has also been suspended. The suspensions come amid ongoing investigations that have yet to result in criminal charges against Cognizant, and specific allegations remain undisclosed.

About the PERM and H-1B Programs

The PERM program, managed by the Labor Department, marks the first step for employment-based green cards. U.S. employers can sponsor foreign workers, often those on H-1B visas, for permanent residency. Employers must demonstrate there are no qualified U.S. workers available, and hiring foreigners won’t negatively impact wages or working conditions for similar jobs.

Data from the USCIS Employer Data Hub shows Cognizant obtained approval for 3,510 H-1B visa petitions as of June 30 of fiscal year 2026. The H-1B visa permits U.S. employers to employ foreign personnel in specialized roles requiring at least a bachelor’s degree. This program is popular among technology firms seeking skilled engineers and software developers.

Impact on Technology Companies

The implications of this ongoing investigation could be significant for tech companies relying on employment-based visas. Cognizant, a major user of the H-1B program, might face delays in green card sponsorships due to the PERM suspension.

Background on Cognizant

Cognizant is an IT and consulting firm based in Teaneck, New Jersey. Established in 1994 as a tech division of Dun & Bradstreet, the company has around 351,600 employees worldwide, with approximately 256,900 in India.

A previous Newsweek report revealed that some job listings meant to meet hiring requirements led applicants to immigration departments, drawing criticism for favoring foreign workers already with the companies.

Trump Administration’s Visa Policies

The Trump administration has adopted a stricter stance on H-1B enforcement. The Justice Department has settled with companies like Compunnel Software Group over related hiring practices. Employers like GowraTech LLC and Renotek Group LLC have found themselves on the Labor Department’s disqualified list under the H-1B program.

Policy changes introduced by the administration include shifting from a lottery to a weighted selection process for H-1B applications, now favoring higher-paid workers. Proposed fees include a $103,265 charge for certain petitions and an expanded $4,000 biometric fee. Although some measures faced legal challenges, they aimed to protect American workers and ensure immigration integrity.