A major shift is unfolding in the U.S. tech job market as leading American companies sharply reduce their intake of Indian H-1B visa holders. Data shows that new H-1B visa approvals for major Indian IT firms have dropped by nearly 70% since FY 2015, raising concerns across the industry.
In FY 2025, the top seven Indian IT companies together secured only 4,573 H-1B approvals for new employment 37% lower than FY 2024 and the lowest in the past decade. This marks a significant downturn for Indian outsourcing giants that historically dominated H-1B hiring.
The landscape of top H-1B employers has also changed drastically. Amazon, Meta, Microsoft, and Google have taken the top four spots in FY 2025, driven by an increased focus on hiring foreign graduates from U.S. universities, particularly to power their rapidly expanding AI operations.
Among Indian companies, TCS remained the only notable name in the top tier, receiving 846 approvals, a steep decline from 1,452 in the previous year. Overall, only three Indian IT firms made it into the top 25 employers for new H-1B petitions.
While denial rates for H-1B extensions remain low, some Indian companies faced higher rejection rates for new petitions HCL America at 6% and LTIMindtree at 5%.
Industry experts attribute the shift to evolving business models, increased AI-driven hiring, stricter policy scrutiny, and the growing tendency among tech professionals to explore alternative immigration pathways.
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