Lens on H-1B, but IT firms use it less now

Donald Trump's impending return to the White House has revived concerns about the fate of H-1B visas, which allow highly skilled non-immigrants to work in the U.S.

- Jas Bardia

Donald Trump's impending return to the White House has revived concerns about the fate of H-1B visas, which allow highly skilled non-immigrants to work in the U.S. But Indian software services providers, among the top beneficiaries of these permits, are less vulnerable than in the past.

The number of H-1B visas secured by India's $250 billion IT services sector has fallen over the past decade. At the same time, these companies have hired more in the U.S.

"IT services companies have increased their hiring in the U.S., which is causing the H-1B visa requirements to come down," said Abhishek Kumar, equity research analyst for JM Financial. "IT outsourcers have more local Americans working in the U.S. than those on H-1B visas."

H-1B visas allow companies in the U.S. to temporarily employ foreign nationals in specialized roles within the U.S. for a maximum of six years. India's top software services providers seek these permits to station employees at client locations to carry out work that can't be offshored.