H-1B visa approvals for Indian IT firms fall by 70% since 2015
The Indian IT services sector has been facing significant challenges in recent years, and one of the major concerns has been the decline in H-1B visa approvals. According to a report by the National Foundation for American Policy (NFAP), Indian IT services companies have registered a staggering 70% drop in H-1B visa approvals since 2015. This decline has been attributed to the changing immigration policies in the United States, which have made it more difficult for foreign workers to secure visas.
The report, which cites data from the United States Citizenship and Immigration Services (USCIS), reveals that the top seven Indian IT firms secured just 4,573 initial-employment petitions in the fiscal year 2025. This marks a 37% reduction in H-1B visa approvals compared to the previous year. The decline in H-1B visa approvals has significant implications for the Indian IT sector, which relies heavily on these visas to deploy skilled workers to client sites in the United States.
Tata Consultancy Services (TCS) was the only Indian IT company to feature among the top five firms in terms of H-1B visa approvals. The company, which is one of the largest IT services firms in India, secured 1,353 H-1B visa approvals in the fiscal year 2025. However, even TCS witnessed a decline in H-1B visa approvals, with the number of approvals falling by 23% compared to the previous year.
The decline in H-1B visa approvals has been attributed to the Trump administration’s “Buy American and Hire American” executive order, which aims to protect American jobs and promote the hiring of local workers. The order has led to increased scrutiny of H-1B visa applications, with USCIS officers being more stringent in their evaluation of petitions. The order has also led to an increase in the number of requests for evidence (RFEs) and denials of H-1B visa applications.
The Indian IT sector has been lobbying the US government to relax the H-1B visa rules and increase the annual cap on the number of visas issued. The sector argues that the H-1B visa program is essential for the growth and development of the US economy, as it allows companies to hire skilled workers from around the world. However, the US government has been hesitant to relax the rules, citing concerns about the impact of foreign workers on the local job market.
The decline in H-1B visa approvals has significant implications for the Indian IT sector, which is one of the largest employers in the country. The sector has been facing significant challenges in recent years, including the rise of automation and artificial intelligence, which has led to a decline in demand for traditional IT services. The decline in H-1B visa approvals has added to the sector’s woes, making it more difficult for companies to deploy skilled workers to client sites in the United States.
The Indian government has been trying to address the concerns of the IT sector, with the Ministry of Commerce and Industry launching several initiatives to promote the growth and development of the sector. The government has also been engaging with the US government to try and relax the H-1B visa rules and increase the annual cap on the number of visas issued. However, the progress has been slow, and the sector continues to face significant challenges.
In conclusion, the decline in H-1B visa approvals for Indian IT firms is a significant concern for the sector, which relies heavily on these visas to deploy skilled workers to client sites in the United States. The decline has been attributed to the changing immigration policies in the United States, which have made it more difficult for foreign workers to secure visas. The Indian government and the IT sector must work together to address the concerns of the sector and try and relax the H-1B visa rules. This can be achieved through sustained lobbying efforts and by promoting the growth and development of the sector.
As the Indian IT sector continues to navigate the challenges posed by the decline in H-1B visa approvals, it is essential to monitor the developments in the US immigration policy and their impact on the sector. The sector must also explore alternative strategies to deploy skilled workers to client sites in the United States, such as nearshoring and offshore development. By doing so, the sector can mitigate the impact of the decline in H-1B visa approvals and continue to grow and develop.
The decline in H-1B visa approvals is not just a concern for the Indian IT sector, but also for the US economy. The H-1B visa program is essential for the growth and development of the US economy, as it allows companies to hire skilled workers from around the world. The program has been instrumental in promoting innovation and entrepreneurship in the United States, and its decline could have significant implications for the US economy.
In the coming years, it will be essential to monitor the developments in the US immigration policy and their impact on the Indian IT sector. The sector must also continue to lobby the US government to relax the H-1B visa rules and increase the annual cap on the number of visas issued. By doing so, the sector can ensure that it continues to grow and develop, and that the US economy benefits from the skills and expertise of Indian IT professionals.
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