TCS Accused of Favoring Indian Employees Amid US Workforce Cuts!

Tata Consultancy Services (TCS) is under investigation by the U.S. Equal Employment Opportunity Commission (EEOC) following multiple complaints filed since late 2023. These complaints, mostly from employees over 40 years old and those from non-South Asian backgrounds, claim they were unfairly selected for layoffs while Indian workers—especially those on H-1B visas—were retained.

TCS has strongly denied these accusations, calling them "baseless and misleading." A company representative emphasized TCS’s commitment to upholding fairness and integrity in its U.S. operations.

The EEOC has declined to comment on the investigation, which remains confidential. However, reports indicate that the inquiry began during President Biden’s administration and has continued under President Trump's leadership.

These complaints mirror a 2020 case involving another outsourcing company, Cognizant, which faced accusations of systemic discrimination against non-Indian employees. A 2023 jury ruling found intentional bias against over 2,000 U.S. workers, with Cognizant vowing to appeal the verdict.

According to former employees, the TCS case follows a similar pattern, citing statements from Milind Lakkad, the company's global HR head. He had indicated that TCS aimed to reduce its U.S. workforce share from 70% to 50%, with a preference for Indian hires.

In April 2024, U.S. Representative Seth Moulton (D-MA) called on the EEOC to investigate the situation further, referencing complaints from his constituents and concerns about potential misuse of U.S. visa programs. He suggested that TCS's actions might represent a recurring pattern of discrimination against American workers.

There is growing concern over work visa programs like H-1B and L-1A. A 2023 Bloomberg investigation revealed that outsourcing firms are increasingly dominating the H-1B lottery, limiting access for smaller businesses and U.S. job seekers. TCS has also been accused of exploiting the L-1A visa to circumvent H-1B restrictions, an allegation the company denies.

Andrea R. Lucas, the EEOC acting chair appointed by President Trump, has promised to intensify efforts to tackle unlawful discrimination against American workers. She has emphasized that such practices undermine U.S. labor laws and immigration policies.

The controversy surrounding TCS isn't confined to the U.S. In the UK, three former employees have filed claims of age and nationality discrimination following a 2023 redundancy process. TCS has denied those allegations as well.

TCS, which is part of the Tata Group and is India’s largest IT services company, employs more than 600,000 people globally and serves major U.S. clients across industries such as aviation, automotive, and finance.