No visa power

IT companies’ will be hit by the US’ move to hike visa fees

Illustration by Kishore Das

It’s not only polls in India that affect Indian business — election years in the US can be nerve-wracking, too. Especially for the IT companies. In end-March, the US government hiked the fee for H-1 B visas from its next fiscal year, starting October. The impact is already being felt, because visa applications for the new financial year open in April. The fee hike is a stiff one and IT companies are already provisioning for lower margins as a consequence — the bulk of Indian IT companies’ earning are from work in the US, after all.