Total approvals for new H-1B visas for Indian IT firms fell 40% year-over-year to 11,041 as of March 31, 2026 [1].
This decline highlights the immediate impact of tighter immigration rules under the Trump administration. The shift threatens the traditional staffing model of India's largest technology exporters, who rely heavily on these visas to place skilled workers in the U.S.
The downturn was particularly severe for several industry giants. Approvals for Wipro fell by 62% [1], while Tech Mahindra saw a 59% decrease [1]. Tata Consultancy Services (TCS) experienced a 53% drop [1]. In contrast, Infosys was the only major firm to see growth, with approvals increasing by 12% [1].
These figures align with a broader trend in the H-1B program. Overall H-1B registrations dropped by 38.5% [2], and general H-1B applications fell by 38% [4]. These trends emerge as the administration implements a new green-card directive that has added significant uncertainty for foreign professionals seeking permanent residency [5].
Despite the current slump, Indian nationals have historically dominated the program. In 2025, Indians made up 71% of the H-1B workforce [9], and the petition denial rate for that year held at 3% [9]. However, the current restrictive environment suggests a departure from those previous benchmarks.
The Trump administration has introduced stricter oversight of the lottery system and revised the criteria for specialty occupations. These changes are designed to prioritize U.S. workers and reduce the reliance on outsourced labor, a move that directly affects the business operations of the Indian IT sector [5].
“Total approvals for new H-1B visas for Indian IT firms fell 40% year-over-year”
The sharp decline in H-1B approvals signals a structural shift in U.S. labor policy that may force Indian IT firms to accelerate 'localization'—hiring more U.S. citizens rather than relocating Indian staff. While Infosys showed resilience, the steep losses at TCS, Wipro, and Tech Mahindra suggest that the Trump administration's green-card directive and tighter visa rules are successfully curbing the volume of foreign tech labor entering the country.
