Two senior U.S. Senators—Charles Grassley, Chairman of the Senate Judiciary Committee, and Richard Durbin, the committee’s ranking member—have formally questioned Tata Consultancy Services (TCS) over its hiring practices in the United States.
In a letter dated September 24, 2025, addressed to TCS CEO K Krithivasan, the Senators posed nine detailed questions seeking data and explanations about the company’s use of H-1B visas, treatment of American workers, and transparency in recruitment.
The inquiry comes amid broader scrutiny of skilled worker visa programs and follows TCS’s announcement of plans to lay off over 12,000 employees globally, including American staff.
The Senators highlighted that TCS laid off nearly five dozen employees from its Jacksonville, Florida office alone.
Concerns Over H-1B Visa Filings During TCS Layoffs
The Senators expressed concern that while TCS was laying off American workers, it continued to file thousands of H-1B visa petitions.
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 U.S. that year.
“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 Senators wrote.
They questioned whether TCS made a “good faith effort” to hire American workers before turning to foreign talent.
Nine Questions Focused on Displacement, Wage Parity, and Transparency
The letter outlines nine specific questions, requesting a response by October 10, 2025. These include:
- Whether TCS displaced any American employees with H-1B hires.
- If H-1B recruitment ads are listed separately from general hiring ads, potentially obscuring them.
- Whether H-1B employees receive the same salary and benefits as American workers with equivalent qualifications.
- How many H-1B workers are directly employed and paid by TCS versus those outsourced to other firms.
- Whether TCS uses contractors or staffing agencies to place H-1B workers within its organization3.
The Senators also asked how many H-1B hires were recruited at Level 1 wages, which typically represent entry-level compensation under U.S. Department of Labor guidelines.
Ongoing EEOC Investigation on TCS Adds Pressure
The letter notes that TCS is already under investigation by the Equal Employment Opportunity Commission (EEOC) for allegedly replacing older American workers with younger South Asian H-1B employees.
“TCS is doing itself no favors by replacing Americans with H-1Bs while this investigation is ongoing,” the Senators stated.
This context adds weight to the inquiry, as lawmakers intensify oversight of employment practices that may disadvantage domestic workers.
Policy Shifts and Industry Implications
The scrutiny comes as the U.S. government tightens regulations around skilled worker visas. President Donald Trump recently signed a proclamation raising the H-1B visa application fee to $100,000, effective FY 2027.
This marks a significant increase from the current range of $2,000 to $5,000, and could cost companies like TCS up to $500 million annually if current filing volumes persist.
Industry analysts suggest that such cost pressures may push IT firms to expand offshore delivery or increase local hiring in the U.S.
TCS Yet to Respond Publicly
As of October 4, TCS has not issued a public statement in response to the Senators’ letter.
Regulators have asked the company to provide detailed data and clarifications, and its response may influence future regulatory actions and public perception.
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