(UNITED STATES) HCLTech is accelerating a shift to a more localized delivery model in the United States 🇺🇸, expanding local hiring and training while further cutting reliance on H-1B visas. As of October 2025, 80% of the HCLTech US workforce is local talent, the highest share among major Indian IT players and a marker of how far the company has moved from earlier staffing models that leaned heavily on temporary work visas.
The push has gained speed amid a proposal to raise the H-1B application fee to $100,000, alongside a tougher policy climate that has made visa-based staffing less predictable and more expensive. On October 13, 2025, CEO C. Vijayakumar underscored that the pivot is not a quick response to one policy proposal but part of a longer plan to build teams closer to clients. He said the company will keep growing US campus hiring and training programs while maintaining a globally distributed model.
HCLTech reported that its H-1B workforce in the US stood at roughly 1,728 as of H1 FY25, far below peers with far larger visa pools, and its annual H-1B filings have settled in the 500–1,000 range.
What HCLTech is changing
HCLTech is widening its early-career and skills pathways to feed the US workforce with local candidates. Programs including TechBee, MentorMe, and Aspire aim to attract high school students, new graduates, and career starters and then train them for client projects.
These tracks support a pipeline of job-ready talent in areas such as software development, cloud, and infrastructure services. The company says local training avoids the delays that can come with visa processing or travel.
The firm’s Nearshore and New Vistas initiatives place teams near client sites and draw from communities often overlooked by big tech recruiters, creating local hubs of skilled workers outside traditional tech centers.
Key facts at a glance:
– Local composition: 80% of US employees are now local hires.
– H-1B presence: About 1,728 H-1B visa holders in H1 FY25; annual filings 500–1,000.
– Financial backbone: Q2 FY26 revenue of ₹31,942 crore (up 11% YoY), net profit ₹4,235 crore, and EBIT margin of 17.5%.
– Outlook: FY26 revenue growth guidance 3–5%; EBIT margin 17–18%.
– Recognition: Forbes named HCLTech one of America’s Best Employers for New Graduates in 2025.
“The pivot is not a quick response to one policy proposal but part of a longer plan to build teams closer to clients.” — C. Vijayakumar
Management ties the workforce shift to a broader operating strategy: place more teams onshore to build client relationships, reduce friction, and speed project turnarounds. Analysis by VisaVerge.com notes Indian IT majors have been reducing visa dependency for years; HCLTech now shows the lowest reliance among the largest players by share of US roles filled on H-1B status.
Why policy shifts push local hiring
The policy backdrop has significant influence. The proposed H-1B application fee increase to $100,000 has sharpened focus on costs and timelines for clients. Even before that proposal, companies faced tighter scrutiny on visa use. Those forces have encouraged firms to invest in local pipelines.
HCLTech leaders argue local hiring:
– Avoids visa delays and reduces uncertainty.
– Supports more stable project planning.
– Creates diverse teams that combine local context with global delivery know-how.
Industry trends: from 2017 to 2025, the number of Indian employees on H-1B visas at major IT firms fell by half, implying a negative compound annual growth rate of about 9%. Salaries for local workers can be higher in some markets, but companies avoid visa expenses and the operational risk of sudden policy changes that can disrupt contracts. Some providers plan to share added H-1B costs with clients when sponsorship is required, which may partially offset margin impact.
HCLTech’s recent financials suggest the strategy hasn’t slowed momentum. In Q2 FY26 the company posted double-digit year-over-year revenue growth and kept margins within guidance. Leadership reaffirmed a 3–5% full-year revenue growth outlook and 17–18% EBIT margin, indicating confidence that a more localized US bench can support delivery without eroding profitability.
Impact on clients and US communities
Clients appear to welcome the changes because local hiring reduces uncertainty around:
– Staffing changes and turnover
– Travel needs and assignment start dates
– Continuity, since team members can remain longer on projects without immigration-related transitions
For US communities—especially smaller cities or regions outside usual tech hubs—the New Vistas model means more high-skill jobs in places that historically saw few steady IT roles.
Nearshore hubs, backed by global centers, let providers adjust capacity without waiting on immigration timelines. That combination can reduce change orders and travel-related budget swings for clients.
Industry impact and what it means for workers
HCLTech’s move tracks with peers but goes further. TCS, Infosys, and Wipro have also expanded US hiring and training, yet HCLTech’s figures show the lowest H-1B reliance in its group.
Current and prospective effects for workers:
– Early-career US workers gain clearer pathways into enterprise tech through structured training and client-facing assignments.
– Programs like TechBee and Aspire offer paid training and project work to high school graduates and new college grads.
– MentorMe pairs junior hires with experienced team members to accelerate learning and retention.
– H-1B sponsorship will remain necessary for certain niche roles; HCLTech’s smaller H-1B base allows selective sponsorship where it adds real value.
If the proposed fee hike to $100,000 is implemented, it would be a major cost for companies that still file thousands of petitions yearly. HCLTech’s lower exposure reduces its risk in that scenario. Across the sector, many employers expect to negotiate cost-sharing with clients when sponsorship remains necessary.
Financials and strategy validation
HCLTech’s Q2 FY26 results support the idea that the localized model can scale:
– Revenue: ₹31,942 crore (up 11% YoY)
– Net profit: ₹4,235 crore
– EBIT margin: 17.5%
The company positions this approach as a long-term global delivery plan, not a stopgap. By hiring and training where clients are and keeping a smaller, specialist visa-backed core, HCLTech aims to maintain delivery stability and margins while using global centers for scalability.
What to watch next
- Whether other firms accelerate localization to match HCLTech’s 80% local US bench.
- The outcome of the proposed H-1B fee increase and how it affects industry behavior.
- Continued decline in H-1B counts—so far a 9% negative CAGR in major firms’ H-1B headcount from 2017–2025.
- How client contracts adapt to blended delivery models (onshore anchors with offshore scale).
For official details about the H-1B category and policy updates, see the U.S. Citizenship and Immigration Services page: USCIS – H-1B Specialty Occupations.
HCLTech’s US experience suggests a potential new normal: hire and train locally near clients, keep a smaller but sharper visa-backed talent core for specialized needs, and maintain global centers for scale. The approach appears to be paying off in delivery stability and financial performance, opening doors for students and early professionals while reducing friction for clients and helping the broader market steady growth amid policy change.
This Article in a Nutshell
HCLTech is accelerating a strategic shift toward localized delivery in the United States, reporting that 80% of its US workforce were local hires by October 2025. Its H-1B presence was about 1,728 workers in H1 FY25, with annual filings between 500 and 1,000. The move—driven in part by a harsher policy environment and a proposed $100,000 H-1B fee—relies on programs like TechBee, MentorMe and Aspire to train early-career talent and Nearshore/New Vistas to place teams near clients. Q2 FY26 results (₹31,942 crore revenue, 11% YoY growth) and FY26 guidance (3–5% growth; 17–18% EBIT margin) indicate the localized model can sustain growth and margins while reducing immigration risk.
