H-1B visa approvals for Indian IT firms fall by 70% since 2015
The Indian IT sector has been facing significant challenges in recent years, and one of the major concerns has been the decline in H-1B visa approvals for Indian IT firms. 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 steady, with the top seven Indian IT firms securing just 4,573 initial-employment petitions in FY 2025, marking a 37% reduction since last year.
The NFAP report, which cites data from the United States Citizenship and Immigration Services (USCIS), highlights the significant impact of the declining H-1B visa approvals on the Indian IT sector. The report notes that the top seven Indian IT firms, which include Tata Consultancy Services (TCS), Infosys, Wipro, HCL America, Tech Mahindra, Larsen & Toubro Infotech, and Mindtree, have seen a drastic decline in H-1B visa approvals over the years.
TCS was the only Indian IT company among the top five firms to receive H-1B visa approvals in FY 2025. The company secured 1,424 initial-employment petitions, which is a significant decline from the 4,160 petitions it received in FY 2015. Infosys, which was once one of the top recipients of H-1B visas, saw a significant decline in approvals, with just 474 initial-employment petitions in FY 2025.
The decline in H-1B visa approvals for Indian IT firms can be attributed to several factors, including the changing immigration policies in the United States. The Trump administration’s “Buy American and Hire American” executive order, which was signed in 2017, has led to a significant increase in scrutiny of H-1B visa applications. The order directed federal agencies to implement a more rigorous vetting process for H-1B visa applicants, which has resulted in a higher rejection rate for Indian IT firms.
Another factor contributing to the decline in H-1B visa approvals is the increasing competition from American companies. Many American companies, including Google, Amazon, and Facebook, have been hiring more foreign workers, which has reduced the number of H-1B visas available for Indian IT firms.
The decline in H-1B visa approvals has significant implications for the Indian IT sector, which relies heavily on these visas to send employees to work on projects in the United States. The Indian IT sector is one of the largest employers in India, and the decline in H-1B visa approvals could lead to job losses and a decline in revenue for Indian IT firms.
The Indian government has been lobbying the US government to increase the number of H-1B visas available to Indian IT firms. However, the US government has been reluctant to increase the quota, citing concerns about the impact of H-1B visas on American workers.
The decline in H-1B visa approvals has also led to a shift in strategy for Indian IT firms. Many firms are now focusing on hiring local talent in the United States, rather than relying on H-1B visas. This shift has led to an increase in investment in training and development programs for American workers, which could have long-term benefits for the Indian IT sector.
In conclusion, the decline in H-1B visa approvals for Indian IT firms is a significant concern for the Indian IT sector. The 70% drop in H-1B visa approvals since 2015 is a staggering decline, and the implications for the Indian IT sector are significant. The Indian government and Indian IT firms must work together to address the decline in H-1B visa approvals and find alternative solutions to send employees to work on projects in the United States.