Indian Tech Industry To Enhance Local Skilling, Hiring In US: Industry Body

The H-1B visa serves as a crucial non-immigrant pathway for highly skilled workers to fill critical skills gaps in the United States.

New Delhi:

According to Nasscom, India's leading technology industry body, the Indian IT and tech sector is investing over $1 billion in local talent development and recruitment initiatives across the United States, resulting in substantial growth in American hiring numbers.

Indian and India-centric organizations operating within the US have demonstrated a clear shift in their talent acquisition strategy, dramatically reducing their reliance on H-1B visas while consistently expanding their local workforce.

"The implementation timeline, with fees becoming effective from 2026, provides companies with adequate preparation time to further enhance their US-based training programs and accelerate local recruitment efforts," Nasscom stated.

Statistical evidence shows that H-1B visas issued to prominent Indian and India-focused companies have decreased significantly, dropping from 14,792 in 2015 to 10,162 in 2024.

"H-1B workers employed by the top 10 Indian and India-centric organizations represent less than 1 percent of their total workforce. Given this ongoing trend, we expect the impact on the sector to be relatively minimal," Nasscom explained in an official statement.

The H-1B program facilitates high-skilled worker mobility as a non-immigrant visa option that addresses crucial skills shortages in the United States. These positions offer compensation packages comparable to those of local employees. Additionally, H-1B workers constitute only a fraction of the overall US labor market.

"Nasscom has consistently supported predictable and stable frameworks for skilled talent mobility, which are essential for maintaining national competitiveness and have historically driven U.S. innovation and economic expansion," the industry association emphasized.

Skilled workforce mobility will play a pivotal role in enabling businesses to make forward-looking investment decisions, enhance research capabilities, and strengthen nations' competitive positions in the global innovation landscape, the organization added.

On September 20, the White House provided clarification regarding the recent proclamation that introduces a $100,000 annual fee on H-1B visa applications.

The clarification specifies that current visa holders will not be affected by the measure, which will apply as a one-time fee solely to new petitions. This clarification has helped resolve immediate uncertainties regarding eligibility criteria and implementation timelines.

This clarification also alleviates concerns about business continuity and uncertainty for H-1B holders who were outside the United States.