H-1B visa holders returning to India due to layoffs or uncertainties pertaining to the Donald Trump administration’s immigration policies and tighter visa guidelines are facing a harsh reality – jobs back home are not readily available.US technology giants like Amazon, Microsoft, Meta have laid off several thousands of employees, and Indians have been hit hard, though it is not immediately evident how many of these are H-1B visa holders. These people are coming back to a technology job market that has seen hiring fall to a 28-month low.According to data from Xpheno quoted recently in an ET report, about 7,300 professionals have returned from the US so far in 2026. The number stood at 15,000 in 2025, and 9,700 in 2024. These numbers are expected to rise.Recruitment trends indicate that companies are hiring cautiously, and many returnees are getting jobs at less than their salary expectations. Artificial intelligence has compounded the challenge since many roles have become redundant.But one ray of sunshine emerging amid the dark clouds is the rapid rise of Global Capability Centres in India which are serving as hiring hubs. Bengaluru, Hyderabad and Gurugram continue to be key hiring hubs, although experts caution that finding roles with compensation comparable to US salaries is likely to take longer.
Why are H-1B returnees finding it difficult to get jobs?
Experts note that the lack of adequate skills is not altogether the problem – it’s the job market. The challenge is less about the quality of talent and more about market dynamics, they say.“India’s technology hiring environment has become more selective, with organisations prioritising skills that directly support innovation, AI adoption and business transformation,” says Roopank Chaudhary, Partner and Rewards Consulting Leader, Talent Solutions, India, for Aon.
India a big beneficiary of H-1B visas
At the same time, a growing pool of experienced domestic talent is competing for a limited number of senior roles. “Many returning professionals also face a mismatch between compensation expectations developed in overseas markets and current hiring realities in India. Employers increasingly value specialised expertise, commercial impact and adaptability over brand-name experience alone,” Roopank tells TOI.“Companies in India are hiring much more selectively than they were two or three years ago. Overall tech hiring has slowed, with active tech job openings down around 17% year-on-year in mid-2026,” explains Neeti Sharma, CEO, TeamLease Digital.
Why Returning Tech Professionals Face A Tough Job Market
“Having a big global brand on your résumé is valuable, but it isn’t enough on its own. Another challenge is compensation , many returnees have to adjust to salaries that can be significantly lower than what they earned in the US,” she adds.Experts also note that the shift in hiring trends is not entirely being driven by the advent of artificial intelligence, which is acting as a trigger in some ways.“AI is contributing to a shift in hiring demand, but it is not the sole driver of slower recruitment. Organisations are using AI and automation to streamline routine work, which is reducing demand for some traditional roles while increasing demand for specialised talent,” explains Aon’s Roopank Chaudhary.
The skills in demand
Very specific skills are in demand – highlighting a fundamental change in the technology sector job market.“Employers are prioritising very specific skills in AI, cloud, cybersecurity and product engineering,” Neeti Sharma tells TOI.She points out the shift in the job market is structural and not cyclical. “This is driven by AI-led productivity compression and a pivot from legacy services. AI hiring grew 16% year-on-year even as overall IT hiring remained flat or declined,” she says.“To match the demand and capture value-driven roles, returnees must shed generic management profiles and build depth in MLOps, enterprise AI architecture and cloud, pairing AI fluency with domain expertise, not just coding skills,” Sharma adds.Aon’s Human Capital Trends study shows that successful organisations are focusing on workforce readiness alongside technology investment. “Returning professionals should strengthen skills in artificial intelligence, data engineering, cybersecurity, cloud platforms and digital product management. Equally important are human capabilities such as leadership, adaptability, change management and the ability to translate technology into measurable business outcomes,” says Roopank.
Who is returning?
The role of GCCs
In this backdrop, Global Capability Centres (GCCs) have emerged as important job creators in India for tech talent. GCCs are essentially offshore hubs set up by multinational companies in countries like India to handle high-value functions. These include technology, engineering, research & development, finance, cybersecurity and analytics. Experts see them as one of the biggest white collar job creators at present. They believe that GCCs and startups will remain important employers of returning talent, particularly as India continues to attract high-value engineering, AI, analytics and product development work. But the route is not as easy as it looks and the absorption will not be uniform.“GCCs are increasingly shifting from large-scale hiring to specialized recruitment focused on critical capabilities rather than headcount growth. As a result, opportunities exist, but they are concentrated in niche skill areas,” notes Roopank Chaudhary.India is creating plenty of high-quality opportunities. GCCs alone are expected to add over 4 lakh jobs this year, and startups continue to hire AI and product talent, says TeamLease’s Neeti Sharma.
Hiring slows
“The bigger challenge is matching expectations. Many returning professionals have strong leadership experience but may not have the specialised AI or platform skills companies are looking for today. There’s also a salary gap, Indian employers are willing to pay a premium for niche expertise, but not simply for overseas experience or a well-known employer,” she says.According to Roopank Chaudhary, employers are balancing cost discipline with selective investment in scarce skills. “Success will depend on flexibility, relevance of expertise and willingness to adapt expectations,” he says.
Will India be able to capture the benefits of reverse brain drain?
For a long time India has lamented the loss of talent due to brain drain. The Trump administration’s immigration policies uniquely place India to benefit from the reverse brain drain. But, will the evolving job market dynamics spell a practical reality check?Hiring sector experts believe that India can benefit from the current situation. India is well positioned to benefit from reverse talent flows. This will be supported by a large STEM workforce, a rapidly expanding GCC ecosystem and growing investment in AI, engineering and digital transformation.But it needs to move fast to bridge the talent and expectations gap.“We already have over 2100 GCCs, and AI, semiconductor and deep-tech investments are growing. At the same time, India is expected to face an AI talent gap of around 1.3-1.4 million professionals over the next few years,” says Neeti Sharma.“The opportunity is not just to bring people back, it is to create enough high-value product, R&D and innovation roles to keep them engaged. If that happens, brain gain can become a major advantage,” she adds.
Benefitting from reverse brain drain
Roopank Chaudhary points out that capturing the full opportunity will require faster progress in workforce readiness and skills development. Aon’s research highlights that AI adoption is advancing faster than workforce preparedness in many organisations. The returning professionals can play a major role in strengthening India’s innovation and product ecosystem. “This can be done by helping Indian teams build intellectual property, patents, platforms and products rather than only provide support services because of their global exposure,” he explains.“Another massive opportunity would be building the next generation of entrepreneurs in the space of AI, Fintech, Healthtech, Energytech and other SaaS focused startups especially because of their understanding of global markets, access to investors and strong leadership capabilities,” he adds.The Aon expert sums it up: The greatest opportunity lies in creating more high-value roles linked to innovation, product ownership, research and advanced analytics. If organisations continue investing in skills, workforce planning and leadership development, India can transform returning talent into a long-term competitive advantage rather than a short-term labour market challenge.
