Ratan Tata’s TCS accused of favouring Indian workers, Tata Group firm responds

TCS news: Tata Consultancy Services (TCS), India's largest IT firm, has been accused of discrimination against its US workers based on age, race, and national origin. Many such employees over the age of 40 said they were targeted in layoffs while Indian colleagues were spared, reported Bloomberg. Now, the US Equal Employment Opportunity Commission (EEOC) is reportedly investigating dozens of such allegations. TCS has more than 6,00,000 employees globally. The IT major currently has a market cap of Rs 11.94 lakh crore.

TCS responds to allegations

The Tata Group firm has responded to the allegations by labelling them as 'meritless and misleading'. A TCS spokesperson said, "TCS has a strong track record of being an equal opportunity employer in the US, embracing the highest levels of integrity and values in our operations." The company has declined to comment on specific details from the workers' complaints.

The complaints started surfacing in late 2023 and have raised concerns about the company’s treatment of non-South Asian employees. As the EEOC investigation continues, the agency has not released any public details, as federal law protects the confidentiality of complaints. This is not the first time TCS has faced such scrutiny. In the UK, three former workers filed similar claims of discrimination against the company, alleging bias based on age and nationality as part of a redundancy program. TCS has also denied these allegations.

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TCS counts major US clients such as airlines, automakers, and financial institutions. The company has also faced criticism over its use of visa programs, particularly the L-1A visa. Bloomberg reported in February 2024 that the company has heavily relied on the L-1A visa program, which is designed for internal company transfers. Some former employees allege that TCS used the L-1A program to circumvent H-1B visa rules, allegations the company denies.