(MENAFN- Live Mint) US Senators Charles E. Grassley and Richard J. Durbin rapped Tata Consultancy Services (TCS)for hiring thousands of H-1B visa holders while laying off employees worldwide, including American staff.

They wrote a letter to TCS Chief Executive Officer Krithi Krithivasan on September 24, while taking note of a Wall Street Journal report that highlighted“troubling employment trends.”

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"We are concerned about some troubling employment trends in the 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 letter read.

It added, "The Federal Reserve also found that recent American graduates with STEM majors now face higher unemployment rates than the general population."

The letter by Senator Charles E. Grassley, the Chairman of the Senate Judiciary Committee, and Senator Richard J. Durbin, the ranking member of the Committee came days after the US administration introduced new H-1B visa rules.

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On September 19, US President Donald Trump signed a proclamation on Saturday, requiring a $100,000 payment to accompany or supplement H-1B petitions for new applications. The White House said the decision was taken to restrict the entry of certain "H-1B aliens" into the US as non-immigrant workers.

TCS 'second-largest employer of H-1B beneficiaries'

The letter lashed out at TCS, saying,“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.”

The Senators highlighted TCS's“plans to lay off over 12,000 employee worldwide, including American staff.” They also said,“TCS laid off nearly five dozen employees in its Jacksonville office alone last month.”

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"At the same time you have been laying off American employees, you have been filing H-1B visa petition for thousands of foreign workers, they added.

Sharing some numbers, the US Senators claimed that in fiscal year 2025, TCS received approval to hire 5,505 H-1B employees, making TCS the second-largest employer of newly approved H-1B beneficiaries in the nation.

“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,” they said.

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The US Senators said in their letter that TCS is already under investigation by the Equal Employment Opportunity Commission for allegedly firing older American workers in favour of newly hired South-Asian H-1B employees.

“TCS is doing itself no favours by replacing Americans with H-1Bs while this investigation is ongoing,” they added.

US Senators ask TCS to explain...

Senators Charles E. Grassley and Richard J. Durbin also asked TCS, the tech giant, to explain itself and answer some key questions

"We would like to give you an opportunity to explain yourself. Please provide answers to the following questions, with accompanying data where appropriate, by October 10, 2025," they said.

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They shared a list of questions. They were:

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?

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