H-1B visa approvals for Indian IT firms fall by 70% since 2015
The Indian IT services industry has been facing a significant decline in H-1B visa approvals over the past few years. According to a recent report by the National Foundation for American Policy (NFAP), the number of H-1B visa approvals for Indian IT firms has dropped by a staggering 70% since 2015. This decline has had a profound impact on the industry, with many companies struggling to secure the necessary visas for their employees.
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 FY 2025. This marks a 37% reduction from the previous year, highlighting the ongoing challenges faced by the industry. TCS was the only Indian IT company among the top five firms to receive H-1B visa approvals, underscoring the dominance of American and European companies in the sector.
The decline in H-1B visa approvals has been a gradual process, with the number of approvals decreasing steadily over the past few years. In 2015, Indian IT firms received a total of 14,792 H-1B visa approvals, with the top seven firms accounting for the majority of these approvals. However, by 2020, this number had dropped to just 4,925, with the top seven firms securing only 2,315 approvals.
The reasons behind this decline are complex and multifaceted. One of the primary factors is the changing immigration policies in the United States, which have made it more difficult for foreign workers to secure H-1B visas. The Trump administration’s “Buy American, Hire American” executive order, which was issued in 2017, has had a significant impact on the H-1B visa program. The order prioritizes the hiring of American workers over foreign nationals, making it more challenging for Indian IT firms to secure the necessary visas for their employees.
Another factor contributing to the decline in H-1B visa approvals is the increasing scrutiny of visa applications. The USCIS has become more stringent in its review of H-1B visa applications, with a greater emphasis on ensuring that applicants meet the necessary qualifications and requirements. This has led to an increase in the number of visa denials, with many Indian IT firms struggling to secure approvals for their employees.
The impact of the decline in H-1B visa approvals has been significant, with many Indian IT firms forced to rethink their business strategies. Some companies have opted to hire more American workers, while others have chosen to relocate their operations to other countries. The decline in H-1B visa approvals has also had a negative impact on the Indian economy, with many IT professionals forced to seek employment opportunities in other countries.
Despite these challenges, the Indian IT industry remains optimistic about its future prospects. Many companies are investing heavily in digital transformation, with a focus on emerging technologies such as artificial intelligence, blockchain, and cloud computing. This shift towards digital transformation is expected to drive growth and innovation in the industry, with many companies anticipating an increase in demand for their services.
In conclusion, the decline in H-1B visa approvals for Indian IT firms has been a significant challenge for the industry. However, despite these challenges, the industry remains optimistic about its future prospects. With a focus on digital transformation and emerging technologies, many Indian IT firms are well-positioned to drive growth and innovation in the years to come.
The NFAP report highlights the need for a more nuanced approach to immigration policy, one that balances the needs of American workers with the needs of foreign nationals. By reforming the H-1B visa program and increasing the number of visas available, the US government can help to support the growth and development of the Indian IT industry.
As the Indian IT industry continues to evolve and adapt to changing market conditions, it is essential that the US government takes a more proactive approach to supporting the industry. By providing a more favorable business environment and increasing the number of H-1B visa approvals, the US government can help to drive growth and innovation in the industry, benefiting both American and Indian workers.