Two of the largest alleged H-1B visa mills, Cognizant and Tata Consultancy Services, have altered their hiring practices following President Donald J. Trump’s imposition of a $100,000 fee on new H-1B visa applications. The shift comes after an executive order in September 2017 that aimed to reduce reliance on foreign labor by making the process more costly for employers.
Tata Consultancy Services’ chief human resources officer, Sudeep Kunnumal, stated during a recent earnings call that the company has “significantly localized our workforce in the U.S.” He added, “We believe our business model will be able to adapt quickly to any changes in immigration policy.” The firm, one of the largest H-1B visa sponsors, reportedly faced pressure from the Trump administration’s fee, which critics argue penalizes companies for hiring foreign workers.
Cognizant, another Indian-origin IT consultancy, has also adjusted its approach. New job postings now specify that only candidates “legally authorized to work in the United States without the need of employer sponsorship” will be considered. The move aligns with broader efforts by the Trump administration to prioritize American labor over foreign workers.
The U.S. Chamber of Commerce, a major corporate lobbying group, has challenged the fee in court, arguing it threatens businesses’ ability to operate effectively. The chamber claimed the policy could force companies to scale back or abandon H-1B programs, harming employees and investors.
The changes reflect growing tension over immigration policies and their impact on corporate hiring strategies.
