TCS Minimizes Impact of US Immigration Actions
Tata Consultancy Services (TCS), India's largest IT services provider, has stated that the recent US decision to suspend green card applications for eight technology companies, including itself, will not materially affect its operations.
K. Krithivasan, Chief Executive Officer and Managing Director of TCS, clarified in an interview with PTI that the company's exposure to this specific policy change is minimal. He noted that TCS applied for only about 10 green cards in the previous year. Furthermore, the total number of H-1B visa applications filed by the company was under 300, many of which were for employees already residing in the US rather than fresh hires from India.
Focus on Local Employment
Krithivasan emphasized that US government actions appear to be driven by sensitivities around local job creation rather than the domicile of the companies involved. "I do not think the governments will really look at it from a domicile perspective. I think what the governments have been looking at is from an employment perspective," he said.
To align with this focus, TCS has prioritized hiring local talent in its largest revenue market. The company employs over 30,000 people in the US, with more than half of these positions filled by local hires.
Arathi Subramanian, TCS's Chief Operating Officer, addressed the company's promise to add 15,000 jobs in the US over the next five years. She stated that TCS hires diverse talent based on skill requirements, noting that nationality is not a determining factor in recruitment. "We have this deep experience of integrating into the geography and benefit from the diversity," Subramanian said.
Strategic Stability Amid Political Uncertainty
Despite the upcoming US mid-term elections in November, TCS leadership maintains that the company's long-term strategy in the US remains unchanged. Krithivasan stated that the election outcome will not alter the firm's approach to its primary market.
The suspension of green card applications for eight tech firms has added to the uncertainty facing the Indian IT industry, which relies heavily on the cross-border movement of skilled professionals. The US is the largest market for the USD 300-billion Indian IT sector, and recent trends include tighter scrutiny of work visas and increased costs for H-1B applicants.
In response to the latest developments, industry body Nasscom stated that immigration policy and skilled talent mobility are distinct issues that should not be conflated. The organization urged policymakers to view these matters separately to support the tech ecosystem.