US Senators To TCS: Why Lay Off Americans While Hiring Thousands On H-1B?

In a letter to Tata Consultancy Services, two senior US Congressmen accused the company of laying off local employees while continuing to be one of the largest applicants for H-1B visas.

Charles E Grassley, Chairman and Richard J Durbin, Ranking Member of Senate Judiciary Committee wrote a letter to Tata Consultancy Services CEO Krithi Krithivasan on Sept. 24, raising concerns about "troubling employment trends" in the US tech industry.

"Earlier this year, the Wall Street Journal reported that the tech sector's unemployment rate was 'well above' the overall jobless rate. The Federal Reserve also found that recent American graduates with STEM majors now face higher unemployment rates than the general population," the letter noted.

The Congressmen linked this trend to layoffs by major technology firms, including TCS. "In evaluating the high unemployment rate for American tech workers, we cannot ignore the massive, ongoing layoffs ordered by you and your peers in C-suites over the past few years. TCS recently announced plans to lay off over 12,000 employees worldwide, including American staff," they wrote.

They cited that TCS laid off nearly five dozen employees in its Jacksonville, Florida, office last month. "At the same time you have been laying off American employees, you have been filing H-1B visa petitions for thousands of foreign workers," they added.

According to the letter, in fiscal year 2025, TCS received approval to hire 5,505 H-1B employees, making it the second-largest employer of newly approved H-1B beneficiaries in the US. "With all of the homegrown American talent relegated to the sidelines, we find it hard to believe that TCS cannot find qualified American tech workers to fill these positions," the lawmakers wrote.

The letter also highlighted that TCS is already under investigation by the Equal Employment Opportunity Commission for allegedly firing older American workers in favor of newly hired South Asian H-1B employees. “TCS is doing itself no favors by replacing Americans with H-1Bs while this investigation is ongoing,” Grassley and Durbin said.

Concluding, the lawmakers asked TCS to provide an explanation and submit answers to a set of questions, with supporting data where appropriate, by Oct. 10.

1. Why is TCS hiring foreign tech workers when hundreds of thousands of American tech workers have been laid off over the past few years?

2. Does TCS make a good faith effort to fill open positions with Americans before filing H-1B petitions? Explain in detail.

3. Does TCS hide H-1B recruitment ads by listing them separately from general hiring ads?

4. Has TCS displaced any American employees with H-1B employees?

5. Are your company's H-1B hires provided the same salary and benefits as your American workers with the same qualifications? Please provide specific details.

6. How many H-1B workers at TCS were recruited and hired at level one wages? How many of those workers are still working at level one wages?

7. Does TCS outsource any hiring to contractors or staffing firms that place H-1B workers within your organisation?

8. Of the H-1B workers currently working at TCS, how many of those workers are directly employed and paid by TCS?

9. Of the H-1B petitions TCS received approval for in 2025, how many workers were outsourced to other companies and how many employees' salaries were paid by a firm other than TCS?