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TCS and Infosys share common problem in US H1-B visa violations

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TCS and Infosys share common problem in US H1-B visa violations - June 13th, 2015

TCS and Infosys share common problem in US H1-B visa violations




The US government has opened an investigation against two of the biggest Indian outsourcing companies for possible violations of H1-B visa rules, according to a media report.The Department of Labour has opened the investigation against Tata Consultancy Services and Infosys for “possible violations of rules for visas for foreign technology workers under contracts they held with an electric utility Southern California Edison,” the New York Times said.

The power company had recently laid off more than 500 technology workers amid claims that many of those laid off were made to train their replacements who were immigrants on the temporary work visas brought in by the Indian firms Senators Richard Durbin of Illinois and Jeff Sessions of Alabama announced the investigation after they were notified by the department, the report said. About 250 Disney employees were told in late October last year that they would be laid off and many of their jobs were transferred to immigrants on H1B visas brought in by an outsourcing firm based in India, the report had said.

However, the sensitivity of issues is reeling high and according to Nasscom President R Chandrashekhar said it is “unfortunate” that attempts are being made in some quarters to portray the contribution of Indian IT companies in a negative light and “to create negative sentiments about them by appeal to emotion rather than to facts and logic”. Such efforts would have “serious detrimental impact” on the strategic and mutually beneficial economic and trade relationship that the two countries are striving to nurture.

“It has been brought to our attention that there are unconfirmed media reports of US government opening investigation against two Indian IT companies…We believe that Indian IT companies have been and will remain compliant with all US visa regulations,” said Chandrashekhar. He added that Indian IT firms have made significant contributions in the US in terms of job creation, social security and CSR activities.


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