TCS Layoffs: US Techies Allege Tata Consultancy Services 'Illegally' Fired Them to Hire 'Lower-Paid' Indian Workers on H-1B Visa

Tata Consultancy Services (TCS), a leading software company, is facing allegations of hiring bias at its US unit. A group of American employees claim they were laid off to make way for Indian workers on H-1B visas.

TCS (Photo Credit- Wikipedia)

New Delhi, March 31: Tata Consultancy Services (TCS), a leading software company, is facing allegations of hiring bias at its US unit. A group of American techies claim they were laid off to make way for “lower-paid” Indian workers on H-1B visas.

The employees accuse TCS of illegal discrimination based on race and age, alleging that some of their work was reassigned to lower-paid Indian immigrants on temporary work visas, reported Wall Street Journal. They argue that while layoffs typically affect senior employees, TCS violated the law by targeting them based on their race, favouring Indian workers in the US on H-1B visas. TCS Hiring 2024: CEO K Krithivasan To Hire Employees With No Plans To Curtail Recruitment Efforts, Says Reports.

Since December 2023, 22 former TCS employees have lodged complaints with the Equal Employment Opportunity Commission. The complainants, who are Caucasians, Asian-Americans, and Hispanic Americans aged between 40 and 60, hold advanced degrees such as MBAs. Indian Major IT Companies Laid Off More Than '67,000' Employees in Just One Year: Report.

Despite receiving positive reviews, these former employees claim they were suddenly removed from projects last year. Some allege that TCS management hindered their efforts to secure new assignments within the company, and that their work was handed over to “less-experienced” Indian nationals on H-1B visas.

One ex-employee highlighted a comment made by TCS’ global human resources head, Milind Lakkad, to an Indian media channel, stating that TCS aims to reduce the number of Americans it employs in the US and provide opportunities to Indians instead.

However, TCS has refuted these allegations. A spokeswoman for the company told the Wall Street Journal that TCS maintains a strong record as an equal opportunity employer in the US and operates with integrity.

TCS, a part of the Tata Group conglomerate, employs over 600,000 staff globally, with a smaller workforce in the US that often engages in face-to-face client meetings.

The H-1B visa, a nonimmigrant visa permitting US employers to hire skilled foreign workers for a specific period, is a contentious issue in US politics. While the previous US President labeled the H-1B visa system a “cheap labour program,” the Biden administration is actively working to reform the visa system and address the green card backlog.

(The above story first appeared on LatestLY on Mar 31, 2024 10:58 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).

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