Trump’s $100,000 H-1B Visa Fee: Why TCS, Infosys Face Biggest Impact
US President Donald Trump’s renewed crackdown on immigration, particularly the proposed $100,000 fee on new H-1B visa hires from abroad, is expected to significantly impact Indian IT majors such as Tata Consultancy Services (TCS), Infosys, and Cognizant, according to an analysis by Bloomberg News
.The proposed levy, described as the toughest restriction yet on skilled foreign workers, targets companies that recruit H-1B professionals through overseas consular processing. The H-1B programme, which allows foreign professionals with at least a bachelor’s degree to work in the US, has long been a critical talent pipeline for global IT services firms.
Why Indian IT Firms Face the Biggest Impact
Bloomberg’s analysis shows that nearly 90% of new H-1B approvals for TCS, Infosys, and Cognizant between May 2020 and May 2024 were processed at US consulates abroad. Had the $100,000 fee been enforced during that period, these companies would have faced additional costs running into hundreds of millions of dollars.
Infosys alone would have been required to pay the fee for over 10,400 workers—more than 93% of its new H-1B approvals—resulting in potential visa costs exceeding $1 billion. TCS would have paid the fee for around 6,500 employees, accounting for 82% of its new H-1B hires, while Cognizant would have incurred charges for more than 5,600 workers, or 89% of its approvals.
Industry Response and Future Outlook
Despite legal challenges from the US Chamber of Commerce and several states, analysts expect the proposed fee to reduce H-1B applications sharply and accelerate offshore hiring. Immigration attorney Jonathan Wasden warned that exceptional global talent may miss out on US opportunities if the fee is implemented.
Several firms have downplayed immediate operational impact. Cognizant said it has already reduced reliance on visas, while Infosys CEO Salil Parekh earlier stated that the company requires limited new sponsorships and expects no disruption to client services.
Experts believe the policy will push companies to invest more in offshore delivery, particularly in India. Lawfully, a legal-tech firm, estimates the fee and related lottery changes could reduce next year’s H-1B registrations by 30% to 50%, reshaping recruitment strategies across industries.
While supporters argue the fee will curb misuse of the programme and protect American wages, critics say it may fundamentally alter access to global talent in the US technology sector.
