Increasing number of layoffs by information technology (IT) firms along with the recent proposal by the US government to end extension of H-1B visa for people waiting for green card is giving jitters to techies back home.
The H-1B visa is a non-immigrant visa that allows US- based companies to employ foreign workers, typically for three to six years, in various sectors that require theoretical or technical expertise.
Shares of information technology companies such as HCL Technologies, Infosys, Wipro, TCS, Tech Mahindra, Mindtree, Persistent Systems and Mphasis came under heavy selling pressure today after a bill backing key changes in the H-1B programme was reintroduced in the US.
The IT sub-index on the BSE slumped 2.5 per cent with shares like HCL Technologies falling 3.5 per cent, Infosys declining 2.5 per cent, TCS slipping 2 per cent and Wipro sliding 2 per cent.
Bangalore: Anticipating a more protectionist US technology visa programme under the administration of Donald Trump, India's $150 billion IT services sector will speed up acquisitions in the United States by recruiting more number of candidates from the college campuses there.
Indian companies like Tata Consultancy Services (TCS), Infosys and Wipro have long time used the H1-B skilled worker visas to fly their computer engineers to US, their largest overseas market, temporarily to service clients. Employee from this three companies accounted for around 86,000 new H1-B workers in 2005-14. Now, US has issues close to that number of H1-B visas each year.