Tata Consultancy Services (TCS), one of the largest sponsors of H-1B visas in the United States, has announced it will stop hiring new applicants through the program and increase its focus on local recruitment.
The move comes in response to the Trump administration’s recent crackdown on the visa program for skilled foreign workers. In September, President Donald Trump signed an executive order imposing a new $100,000 fee on companies for each H-1B visa, citing concerns over potential “abuse” of the system.
TCS CEO K. Krithivasan confirmed the Indian tech giant’s shift in strategy, describing it as a “reduction in dependency on visa-based talent.” He stated that the company, which currently employs around 11,000 H-1B holders in its U.S. workforce of approximately 32,000, does not plan to increase that number.
According to U.S. Citizenship and Immigration Services data, TCS was the second-largest sponsor of H-1B visas in the 2025 fiscal year with 5,505 approved applications, trailing only Amazon.
The H-1B visa program has long been a subject of debate. Critics argue that it undercuts the domestic workforce, while supporters contend it is essential for attracting top global talent to the U.S.
Echoing the administration’s stance, Commerce Secretary Howard Lutnick said the new fee ensures that “either the person is very valuable to the company and America, or they are going to depart and the company is going to hire an American.”
While the $100,000 fee is in effect, it is facing legal challenges, including a lawsuit filed by a coalition of unions and employers seeking to block it. The decision by TCS could signal a broader trend among technology firms as they adapt to the administration’s stricter immigration policies.
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