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Sunday, January 18, 2026

Indian Companies to Increase Local US Hiring After H-1B Fee Hike: Industry Body

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Indian IT companies are reportedly planning to step up local hiring in the United States following a recent increase in H-1B visa fees, according to industry representatives. The move is seen as a strategic response to rising costs associated with deploying Indian professionals abroad.

The H-1B visa program, which allows companies to employ highly skilled foreign workers in the US, is crucial for Indian IT service providers. The recent fee hike has increased operational costs for firms that rely heavily on sending employees to client sites in America. In response, companies are exploring alternative staffing strategies, including hiring talent locally within the US.

Industry bodies have noted that while onshore hiring may increase costs in the short term, it provides long-term benefits such as reducing dependency on visa approvals and strengthening relationships with local clients. This approach could also help mitigate the impact of future regulatory changes affecting overseas deployments.

Analysts suggest that Indian IT firms are likely to adopt a hybrid model, combining local US hires with employees sent on H-1B visas. This will ensure continuity of project delivery while complying with visa regulations and managing cost pressures.

The shift is expected to affect recruitment trends, with greater emphasis on attracting US-based talent across technology, consulting, and project management roles. Companies are also expected to invest in upskilling local professionals to match the skill sets of their offshore teams.

While the H-1B fee hike poses challenges, industry insiders believe that strategic adjustments in staffing patterns will allow Indian IT firms to sustain their growth trajectory in the US market while maintaining client commitments.

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