TCS faces civil rights case in US

The company seeks to give bonus to its staff on the 10 anniversary of IPO

GN Bureau | April 17, 2015


#TCS   #Tata   #software   #consultants   #bonus  

Tata Consultancy Services Ltd is giving bonus to its staff on 10th anniversary of its initial public offer (IPO) and is facing a law suit by a white American worker. He has accused India's largest software services exporter of overwhelming favoritism toward workers of South Asian descent in the United States.

In a complaint filed in San Francisco federal court, Steven Heldt said 95 per cent of Tata's 14,000-person US workforce came from South Asia, primarily India, and that the company has violated federal civil rights law by intentionally favoring them in hiring and promotions.

Heldt said he experienced "substantial anti-American sentiment" in his 20 months at TCS, including from a human resources manager who allegedly called Americans "selfish and demanding" and said "I don't like dealing with Americans."

Despite claiming to have been in the industry since 1996, Heldt said Tata saddled him with "menial" or no substantive work as it shuffled him between several jobs, ending with the Californian's firing in March 2014.

Heldt is seeking class-action status for Tata workers and job applicants in the United States since April 2011 who are not of South Asian race or from India, Bangladesh and Nepal. He seeks a halt to discrimination, and unspecified damages.

Meanwhile, TCS on Thursday said it will give a one-time bonus to all eligible employees to mark the 10th anniversary of its initial public offer or IPO. India's biggest outsourcer will give one week's salary for every year of service rendered, a move that will cost the company $423 million or Rs 2,628 crore.

Employees who have completed at least one year in service will be eligible to receive the one-time bonus, TCS said. TCS employs 3.19 lakh consultants worldwide.

The country's biggest software exporter also announced an average salary hike of 8 per cent for its employees in India. Overseas employees will get an average hike of around 2-4 per cent.

TCS was listed in 2004. Its shares have done exceedingly well as the company notched industry-leading growth rates. TCS is now India's biggest firm with a market capitalization of Rs 5 lakh crore. It's also the country's most profitable firm.

TCS reported a 29 per cent fall in its net profit in the fourth quarter ended March 31, 2015, on a sequential basis. Its net profit fell to Rs 3,858 crore in the fourth quarter.

Comments

 

Other News

New Delhi’s Indo-Pacific strategy enters a new phase

India appears to be investing fresh dynamism in its Indo-Pacific strategy. At the time when the US, under president Donald Trump, has adopted a conciliatory approach towards China and has changed the name of America’s Indo-Pacific Command to just Pacific Command, India has quietly moved towards con

CAG flags major fiscal lapses in Maharashtra

Maharashtra`s fiscal management has come under sharp scrutiny after the Comptroller and Auditor General (CAG) of India, in its State Finances Audit Report for 2024-25, flagged significant budgetary inefficiencies, accounting irregularities, understatement of key fiscal indicators and widespread governanc

The health sector research we are not doing

Some neglect is loud. This kind is quiet. It sits in research never commissioned, data never collected, questions never asked. In South Asia, that quiet has let the region’s worst health problems stay understudied, underfunded, and out of sight of those who could act.  

Study flags accessibility and last-mile challenges on Mumbai Metro Aqua Line

Mumbai Metro Line 3 (Aqua Line), the city`s first fully underground metro corridor and one of its largest public transport investments, represents a major engineering achievement and has been widely welcomed by commuters. However, the overall commuter experience continues to be constrained by accessibili

Centre intensifies preparedness as El Niño threat looms

Amid uncertainty in the southwest monsoon due to the potential impact of El Niño, the government is addressing the situation with comprehensive preparedness, a clear strategy, and strong ground-level action. While challenges remain, the entire system has been activated in advance and is working proa

India is crossing a climate threshold

On June 28, Delhi recorded a maximum temperature of 41.3°C, four degrees above the seasonal normal. But the “feels like” temperature, which factors in humidity, showed more than 51°C. What the body experienced was very different from what the thermometer recorded.  India`





Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter