H-1B visa approvals for Indian IT firms fall by 70% since 2015
The Indian IT industry has been facing significant challenges in recent years, particularly with regards to 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 major implications for the industry, which has long relied on the H-1B program to bring skilled workers to the United States.
The NFAP 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 Fiscal Year 2025. This marks a 37% reduction from the previous year, highlighting the ongoing struggles faced by these companies in obtaining H-1B visas. The report also notes that 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 decline in H-1B visa approvals for Indian IT firms can be attributed to several factors, including changes in US immigration policies and increased scrutiny of visa applications. The Trump administration’s “Buy American, Hire American” executive order, issued in 2017, has had a significant impact on the H-1B program. The order aimed to protect American workers by promoting the hiring of domestic workers and reducing the reliance on foreign labor.
The USCIS has also implemented various measures to tighten the H-1B visa approval process, including increased fees, stricter eligibility criteria, and more rigorous scrutiny of applications. These changes have made it more difficult for Indian IT firms to secure H-1B visas, leading to a significant decline in approvals.
The impact of this decline is being felt across the Indian IT industry, with many companies struggling to find alternative ways to access the skilled labor they need. Some firms have begun to explore other visa options, such as the L-1 visa, which allows companies to transfer employees from their foreign offices to the US. However, these alternatives are often more expensive and may not provide the same level of flexibility as the H-1B program.
The decline in H-1B visa approvals also has significant implications for the US economy. The H-1B program has long been a key driver of innovation and growth in the US tech industry, with many foreign-born workers making significant contributions to American companies. The reduction in H-1B visa approvals may lead to a brain drain, as top talent is forced to look elsewhere for opportunities.
The NFAP report highlights the need for the US government to reform the H-1B program to ensure that it continues to support the needs of American businesses. The report suggests that the government should increase the annual cap on H-1B visas, which is currently set at 85,000. It also recommends that the USCIS streamline the visa approval process and reduce the associated fees.
In conclusion, the decline in H-1B visa approvals for Indian IT firms is a significant concern for the industry, with major implications for the US economy. The NFAP report highlights the need for reform of the H-1B program to ensure that it continues to support the needs of American businesses. As the US government considers changes to the H-1B program, it is essential that it takes into account the needs of both American workers and the businesses that rely on foreign talent.