Trump’s $100,000 H-1B Visa Fee: Are TCS, Infosys & Cognizant Rethinking U.S. Hiring?

The notable U.S. H-1B fee ($100,000) under Donald Trump (September 19, 2025) will hit Indian IT companies such as TCS, Infosys, and Cognizant the hardest. Usually (before the new rule), the U.S. allowed 85,000 new H-1B visas every year. That's the case anymore. According to Bloomberg’s data, nearly 90% of its new H-1B hires were from abroad. And now these companies are reducing H-1B hiring. So, where are these companies moving the jobs to? Are companies challenging this rule in court? What happens next? For all that, learn more. 

Trump’s New H-1B Visa Fee Explained?

By definition, an H-1B visa allows foreign professionals (engineers, IT workers, etc.) to work in the U.S. Each year, the U.S. issues 85,000 new H-1B visas, and most are claimed by big tech and IT companies. But on September 19, 2025, the U.S. government imposed a new rule. It mandates that companies pay $100,000 for every hire. This is not a salary, it's a government fee. According to the Trump administration, the new rule was introduced to prevent companies from using foreign workers as cheap labour.  

The Indian IT industry is worried because it hires 90% of its new hires from abroad. And here's the company-wise impact:

Infosys

• Over 10,400 workers (93% of its new H-1B hires).
• If that's the case, then the company would have paid over $1 billion in visa fees.

Tata Consultancy Services (TCS)

• About 82% (nearly 6,500 workers) of its new H-1B hires are from abroad.
• If this rule existed earlier, TCS would have paid hundreds of millions of dollars.

Cognizant

• 5,600+ (89%) workers come from new H-1B hires and would have paid hefty fees indeed. 

How Tcs, Infosys & Cognizant Are Responding to the H-1B Visa Fee?

• These companies are cutting back on H-1B hiring altogether. There will now be fewer H-1B applications (expected drop: 30–50%). 
• They don't want to pay such huge fees.
• And many are moving the jobs out of the U.S., especially to India. This means increased investments in India.

Are Companies Challenging This New H-1B Visa Fee Rule?

Yes! Many states and business groups, like the US Chamber of Commerce, have filed lawsuits challenging the new H-1B visa fee. However, companies are acting on it now and not waiting for the final decision. 

What Happens Next: The H-1B Lottery in April?

According to experts, the real impact will be evident in the April H-1B lottery. Things the experts will closely watch:

• Are fewer people applying?
• Are salaries higher?
• Are only top-skilled workers being selected?