In a move that could reshape the landscape for skilled foreign workers in the U.S., the CEO of Tata Consultancy Services (TCS) — one of the largest H-1B visa sponsors in the country — said the company will stop hiring new employees under the H-1B visa program.
K. Krithivasan, CEO of the India-based tech giant, confirmed the shift in a recent interview with The Times of India, citing a strategic plan to “reduce dependency on visa-based talent” and “continue to hire more locally” in the United States.
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What’s Behind the Move?
The announcement comes shortly after the Trump administration introduced a steep new fee: companies must now pay $100,000 per H-1B visa, a move the White House says is meant to combat “abuse” of the system and protect American jobs.
Critics argue that the H-1B program undercuts U.S. workers by driving down wages. But defenders say it’s vital for attracting global talent in tech, engineering, and other high-skill industries.
Why It Matters
TCS wasn’t just any H-1B employer — it was the second largest sponsor of H-1B visas in the 2025 fiscal year, behind only Amazon, with 5,505 visas approved, according to USCIS data.
In total, the company has about 11,000 employees on H-1B visas in the U.S., making up roughly a third of its 32,000-strong American workforce.
Krithivasan emphasized that this isn’t a sudden reaction, but part of a longer-term plan:
“Our original plan was always to send people on H-1 with the intention of bringing them back and rotating them. Now, we’re focusing more on increasing local participation.”
However, the timing of the decision — just weeks after the visa fee hike — is hard to ignore.
The Broader Picture
TCS’s pivot could be a signal of what’s to come in the tech industry. Other firms may soon follow suit, scaling back their reliance on international workers as the cost and political pressure rise.
The controversial $100,000 visa fee is already being challenged in court by a coalition of businesses and labor groups.
Meanwhile, U.S. Commerce Secretary Howard Lutnick defended the policy bluntly:
“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. That’s the point of immigration.”
Whether this sets a new standard or sparks a hiring backlash remains to be seen. But for now, it’s clear: the rules of the game for skilled immigration are changing — and fast.
Source: One of America’s Biggest H-1B Employers Just Announced: No More New H-1B Hires
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