- By Supratik Das
- Mon, 01 Dec 2025 09:09 AM (IST)
- Source:JND
H-1B visa 2025: In a major development that has sent ripples across the Indian technology sector, approvals for new H-1B visas issued to Indian IT companies slumped to 4,573 in FY2025, the lowest level recorded in a decade.
According to data analysed by the National Foundation for American Policy using USCIS records, the figure represents a 37 per cent drop from last year and nearly 70 per cent below 2015 levels, reflecting an unprecedented change in US visa allocation trends. Among Indian companies, only Tata Consultancy Services remained in the top tier of H-1B employers this year, as the role of traditional outsourcing giants in the American skilled-worker pipeline continued to shrink.
US Policy Shifts Drive Decline
This sharp fall is due to increased scrutiny over immigration, changing hiring strategies, and the growing dominance of US tech majors such as Amazon, Meta, and Microsoft in securing visas. These companies have long benefited from deep-rooted presence and compliance infrastructure in the US market.
Meanwhile, Indian IT companies have gradually cut down onshore visa deployments and started hiring local talent, opened near-shore centres and remote project delivery models.
The sharp decline has wide-ranging implications for India's USD 283-billion IT sector, which earns more than half its revenue from the United States. With fewer H-1B visas available, companies are likely to face difficulties in staffing client projects, renegotiating delivery timelines, and managing operational costs.
Trump's H-1B Fee Sparks Panic
The issue has become a flashpoint after President Donald Trump announced a USD 100,000 per year fee for new H-1B applicants, which created confusion among visa holders, technology firms, and universities. Although the White House later clarified that the fee applies only to new applicants and is a one-time charge
Amid growing anxiety, Congressman Raja Krishnamoorthi has reintroduced the High-Skilled Immigration Reform for Employment (HIRE) Act that seeks to double the annual H-1B cap from 65,000 to 1,30,000. The legislation also proposes to eliminate the 20,000-visa cap for advanced-degree holders and increase US federal investment in STEM education.
Krishnamoorthi said the Act would make America’s economic competitiveness stronger by “ensuring employers can recruit the skilled workers they need while expanding the domestic talent pipeline”.
ALSO READ: 'One Indian District Alone Received 220K Visas': US Economist Accuses H-1B System Of Massive Fraud
As the future of the H-1 B visa is weighed in Washington, the decisions taken over the coming months will determine whether America continues to attract global talent or risks losing it to more welcoming countries.