TCS Avoids $1 Million H-1B Burden!

While Nvidia CEO Jensen Huang announced that his company would continue to sponsor H-1B visa employees despite the high fees imposed by the Trump administration, Indian IT giant Tata Consultancy Services (TCS) is taking a different approach. CEO K. Krithivasan said the company would reduce its dependence on H-1B visas and shift focus toward hiring local talent in the United States. He confirmed that TCS would not be hiring any new H-1B employees this fiscal year.

Significantly, TCS is the second-largest beneficiary of the H-1B program in 2025, trailing only Amazon, with over 5,000 H-1B visas issued this year alone.

According to a report in The Times of India, TCS plans a gradual reduction in the use of visa-based workers. Of the 32,000 to 33,000 employees in its US operations, more than 11,000 are currently on H-1B visas. Krithivasan clarified that the company would employ far fewer individuals than the number of annual approvals and that H-1B positions would not be replaced by L-1 visas, which serve different purposes.

The CEO’s statement comes amid a period of lower demand for IT services, driven by cautious client spending and increased focus on customer satisfaction.

It is worth noting that TCS recently reduced its workforce by about 2%. Speaking on the matter, Krithivasan said the downsizing was handled with compassion and care, and that affected employees were provided with reasonable severance packages.