Indian IT Giants TCS, Wipro, Tech Mahindra and Others Face Steep H-1B Visa Approval Declines in FY26

Indian IT giants have encountered a notable decline in H-1B visa approvals for FY26, witnessing a reduction of 40% compared to the previous year.  

This drop is primarily attributed to policy adjustments and increased fees imposed by US authorities. 

Impact of Policy Changes on Visa Approvals 

As per Mint analysis of US Citizenship and Immigration Services (USCIS) data, as of March 31, 2026, India’s leading IT companies, such as Tata Consultancy Services (TCS), Wipro, and Tech Mahindra, reported a steep decrease in H-1B visa approvals.  

This decline is influenced primarily by the $100,000 annual fee for each new H-1B visa application, instituted by the Trump administration in September 2025.  

Since then, this policy change has put a significant financial burden on mid-sized firms, discouraging them from filing for new visas. 

Additionally, the shift to a wage-weighted lottery system for visa allocation further altered the landscape. This system favours higher salary offers, thereby disadvantaging outsourcing firms traditionally sponsoring at lower wage levels. 

Company-Specific Declines 

TCS, the largest IT exporter of India, experienced a 53% drop in H-1B approvals, with figures falling to 2,885 from 6,136 the prior year.  

Wipro saw a decline of 62%, while Tech Mahindra posted a 59% reduction.  

HCL Technologies and Cognizant also encountered declines, though specific figures were not disclosed. 

Infosys Bucks the Trend 

Despite the overall decline, Infosys emerged as an exception among Indian IT firms in FY26. Its H-1B visa approvals increased to 3,195, marking an improvement compared to the previous year.  

This upward trend has not been officially explained by the company, making it a unique outlier in the sector. 

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Structural Shift in Hiring Strategies 

Faced with these challenges, Indian IT companies are increasingly building delivery capacities in regions like Canada and Mexico.  

These locations offer alternative staffing options that reduce the firms' dependency on the US visa system, especially with the increasing unfeasibility of the H-1B route. 

Existing Workers Remain Stable 

While new H-1B approvals have declined, the extension approval rates for existing employees at firms such as TCS, Infosys, and Wipro remained above 93%.  

This indicates a relative stability in the current workforce despite the policy shifts affecting new visa issuances. 

Conclusion 

The FY26 data indicates a significant structural change in the H-1B visa landscape for Indian IT firms. Policy changes and financial implications have prompted these companies to reassess their international staffing strategies. 

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