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Former Employee Sues Tata Consultancy Services Alleging Discrimination Against Non-Indian Employees

Former Employee Sues Tata Consultancy Services Alleging Discrimination Against Non-Indian Employees

  • Shawn Katz, a naturalized U.S. citizen of Israeli origin, who worked with the organization for nine years, claims he was fired despite being recommended for promotion.

A former employee of Tata Consultancy Services (TCS) is suing the company for discriminatory hiring practices. In a class action lawsuit filed on Dec. 7, at the U.S. District Court for the District of New Jersey, Shawn Katz alleges that the IT services, consulting, and business solutions company allegedly discriminates against non-South Asian and non-Indian applicants and employees. The company is based in Mumbai and maintains its U.S. headquarters in Edison, New Jersey.

Katz, who, according to news reports, worked with TCS for over nine years, claims although he was recommended for promotion by both managers and client companies, he was moved to the bench and then fired. During his time on the bench, the company did not provide him with “meaningful assistance,” the lawsuit adds, according to court documents.

Katz, a naturalized I.S. citizen of Israeli origin, as reported by Bloomberg Law, further accused TCS of “knowingly and intentionally creating and maintaining an overwhelmingly disproportionate workforce in the United States.” The company employs “over 606,000 employees, approximately 40,000 of whom work in the U.S.,” court papers show. “While only about 12% to 13% of the United States’ IT industry (the industry in which TCS operates) is South Asian, approximately 70% of the company’s workforce in the U.S. is South Asian and is primarily composed of non-citizens from India who are in the U.S. on work visas.”

This is the second time a discrimination lawsuit has been filed against TCS. In 2015, a class action lawsuit was filed against TCS by three U.S. citizens from two different companies, alleging discrimination based on race and national origin.

Additionally, Katz says in the lawsuit that TCS’ talent acquisition strategies “are designed to attract and favor Indian candidates, and that TCS offers better career growth opportunities to candidates on visas over non-Indian and non-South Asian candidates.”

A report in BQ Prime, an Indian business and financial news organization founded as a joint venture of Bloomberg News and Quintillion Media, TCS, who “relies heavily on H-1B and L-1 work visas to bring South Asian and Indian workers to the U.S,” has created an inventory of “visa ready” workers. “The company applies for visas “for more positions than actually exist in the U.S.,” and “also falsifies employee roles listed in its H-1B and L-1A visa applications,” the report said.

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The relief sought includes directing TCS to adopt a valid and non-discriminatory method for hiring, promotion, termination, and other employment decisions; not to retaliate against individuals who complain of racial discrimination, awarding damages as well as front and back pay, and more

This is the second time a discrimination lawsuit has been filed against TCS. In 2015, a class action lawsuit was filed against TCS by three U.S. citizens from two different companies, alleging discrimination based on race and national origin. The complaint, filed in Oakland, California, alleged that TCS prefers to bring in employees on visas even when there are trained US citizens and further discriminates when it hires locally by preferring Indians and South Asians.

The court, however, ruled in favor of the company said in a statement. “The jury verdict vindicates our position that the claims made in this case were baseless and the lawsuit was wholly without merit,” read the statement. Noting that decisions made for hiring are based on employees’ capabilities and requirements from the client, TCS said it will “continue to invest in people, irrespective of their background or national origin,” and provide training to succeed.

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  • All of the Indian led IT groups discriminate against non-indians. The crazy thing is Indians expecting civil rights while blatantly being hypocritical. But discrimination is built into the culture so not much of a surprise.

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