Status as of October 18, 2026. Cloudera has agreed to a 24-month exclusion from the PERM labor-certification program under a settlement announced by the Justice and Labor departments on October 16. The restriction concerns PERM sponsorship, not a blanket ban on all work visas or company hiring.

Software company Cloudera will stay out of the federal PERM program for two years and commit $2 million in back pay and civil penalties to resolve allegations that its recruitment process kept qualified U.S. workers from competing for jobs intended for foreign employees seeking green cards.

Under the agreement, the Santa Clara, California-based company will create a $1.4 million back-pay fund for eligible affected workers and pay $600,000 in civil penalties. The settlement also requires changes to recruiting practices, federal oversight and an independent compliance auditor.

Why Cloudera was sanctioned

The Justice Department sued Cloudera in April 2026, alleging that it discriminated against U.S. workers while recruiting for seven positions through the Permanent Labor Certification program, known as PERM.

According to the government's investigation, Cloudera advertised PERM-related positions separately from its normal careers website and directed applicants to an email address that could not receive messages from outside the company. At least one U.S. worker tried to apply and was unsuccessful because of that problem, the agreement states.

Cloudera denies that it intentionally discriminated and maintains that it complied with the law. The settlement resolves the dispute without a court finding of liability.

In May, the Labor Department had already suspended processing of Cloudera's PERM applications for 180 days. The new agreement imposes a longer restriction: Cloudera must not submit Form ETA-9089 or place PERM recruitment advertisements during a 24-month self-debarment period. The agreement specifies that the period begins with the company's most recent withdrawal of a PERM application, not necessarily the October 16 announcement date.

What it means for green card sponsorship

PERM is a Labor Department process used for many employer-sponsored EB-2 and EB-3 green cards. Before seeking labor certification, an employer generally must recruit for the position and demonstrate that qualified, available U.S. workers were given a genuine opportunity to apply. The process is explained in Factum Immigration's employment-based green card guide.

Cloudera must also withdraw outstanding PERM applications tied to the nonfunctional recruitment email address. The settlement does not say that every visa or previously issued green card associated with the company has been canceled. Its two-year restriction is specifically on participation in PERM.

The action is distinct from the October PERM suspension involving Microsoft and seven other companies, which concerned a different set of investigations.

How affected job applicants can seek back pay

There is a practical deadline for people who believe Cloudera denied them a fair chance to apply for one of the affected PERM positions. The signed agreement allows potentially eligible workers to contact the Justice Department's Immigrant and Employee Rights Section within 180 days of the agreement's effective date, including at IER.cloudera@usdoj.gov.

Applicants must provide evidence of the attempted application and the alleged discrimination. DOJ decides who qualifies and what compensation is owed; contacting the agency does not guarantee a payment. The agreement defines its effective date as the last party's signature, and the published copy shows a Justice Department digital signature dated October 13, 2026. Anyone considering a claim should confirm the applicable deadline directly with DOJ rather than calculate it from the press-release date.

Official sources

Disclaimer: Factum Immigration provides general information, not legal advice. For guidance on an individual case, consult a licensed immigration attorney.