H-1B visa approvals for Indian IT firms fall by 70% since 2015
The Indian IT services industry has been facing significant challenges in recent years, particularly when it comes to obtaining H-1B visas for its employees. 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 significant implications for the industry, which has long relied on the H-1B visa program to bring skilled workers to the United States.
The NFAP report, which cites data from the United States Citizenship and Immigration Services (USCIS), found that the top seven Indian IT firms secured just 4,573 initial-employment petitions in Fiscal Year 2025. This marks a 37% reduction since last year, and a significant decline from the peak of 14,792 approvals in 2015. 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 the visa approval process and increased scrutiny of applications. In recent years, the USCIS has implemented more stringent requirements for H-1B visa applicants, including a requirement that applicants demonstrate that they have a specialized occupation that requires a bachelor’s degree or higher. Additionally, the agency has increased its use of requests for evidence (RFEs) and denials of H-1B visa applications, which has made it more difficult for Indian IT firms to secure approvals.
The impact of the decline in H-1B visa approvals is being felt across the Indian IT services industry. Many companies are being forced to look for alternative locations to base their operations, or to hire local talent in the United States. This can be a costly and time-consuming process, and can also lead to delays in project delivery and increased costs for clients.
The decline in H-1B visa approvals also has significant implications for the United States economy. The H-1B visa program is designed to bring skilled workers to the United States to fill gaps in the labor market, and the program has been instrumental in driving innovation and growth in the tech industry. By reducing the number of H-1B visa approvals, the United States is potentially missing out on the skills and expertise of talented workers from around the world.
The NFAP report also notes that the decline in H-1B visa approvals for Indian IT firms is part of a broader trend. The report found that the number of H-1B visa approvals for all companies has declined in recent years, with the total number of approvals falling by 16% between 2015 and 2020. This decline is attributed to a combination of factors, including changes in the visa approval process and increased scrutiny of applications.
In addition to the decline in H-1B visa approvals, the Indian IT services industry is also facing other challenges, including increased competition from other countries and a shift towards digital transformation. Many Indian IT firms are responding to these challenges by investing in new technologies, such as artificial intelligence and blockchain, and by developing new business models, such as platform-based services.
Despite these challenges, the Indian IT services industry remains a significant player in the global tech industry. The industry is expected to continue to grow in the coming years, driven by increasing demand for digital services and the adoption of new technologies. However, the decline in H-1B visa approvals for Indian IT firms is a significant challenge that must be addressed if the industry is to continue to thrive.
In conclusion, the decline in H-1B visa approvals for Indian IT firms is a significant challenge that must be addressed by the industry and policymakers. The NFAP report highlights the need for a more streamlined and efficient visa approval process, as well as the need for increased investment in skills development and training programs. By addressing these challenges, the Indian IT services industry can continue to thrive and drive innovation and growth in the global tech industry.