Lawsuit Filed Against TCS for Terminating American Employees and Recruiting Indian H1B Workers in the United States

More than 20 employees of Tata Consultancy Services (TCS) based in the United States have lodged a formal complaint with the US Equal Employment Opportunity Commission, alleging discrimination based on race and age. According to a report published by the Wall Street Journal (WSJ), these employees assert that they were unfairly terminated and substituted by workers from India who hold H1-B visas.

The WSJ report sheds light on the dissatisfaction among these employees, who claim that TCS favoured the hiring of individuals with H1-B visas over local talent. They accuse the company of marginalizing American workers and implementing discriminatory practices in its recruitment procedures. Additionally, the employees argue that their dismissals were influenced by their ethnicity and age, which they contend violated US laws against discrimination.

TCS Refutes Claims

In response to the accusations, TCS issued a statement strongly denying any wrongdoing. The company reaffirmed its commitment to being an equal opportunity employer and rejected allegations of illegal discrimination. TCS maintained that the claims lacked merit and were misleading, underscoring its dedication to upholding the highest standards of integrity and principles in its business operations.

Despite TCS's denial, the controversy surrounding the alleged discrimination persists. A source within the industry, speaking anonymously, confirmed that approximately 22 to 30 employees, mostly contractual workers ranked at the lower end of performance evaluations, were let go by TCS.

Implications and Industry Reaction

The allegations against TCS have sparked conversations regarding diversity and inclusivity in the technology sector. With TCS under scrutiny for its hiring practices, industry analysts have raised concerns about the treatment of American workers and the prevalence of discriminatory conduct in multinational corporations.

As investigations into the matter unfold, the outcome remains uncertain. The reputation and standing of TCS in the industry could be impacted by the results of the inquiry, potentially influencing its approaches to managing its workforce and its relationships with regulatory bodies.