Tata Consultancy Services (TCS), India’s largest IT services firm, is facing allegations of misusing L-1A visas in the US. According to a Bloomberg report, former employees claim the company misrepresented job roles to bypass stricter H-1B regulations, effectively "gaming the system" to evade US labor laws.
While TCS has denied any wrongdoing and maintains full compliance with US immigration laws, these accusations have reignited concerns over potential loopholes in employment visa programs.
What Did the Employees Allege?
As per the report, former TCS IT manager Anil Kini alleged that following Donald Trump’s return to the White House, executives instructed him to falsify organizational charts to make the workforce appear more manager-heavy, aiming to avoid federal scrutiny.
Kini, along with two former colleagues, filed lawsuits under the False Claims Act, accusing TCS of using L-1A visas for non-managerial workers. Unlike H-1B visas, L-1A visas have fewer restrictions and no salary requirements. Although all three lawsuits were dismissed before reaching trial, Kini’s case remains under appeal.
Other former TCS employees raised similar concerns. As per Bloomberg, Vinod Govindharajan claimed the company falsely designated him as a Business Development Manager despite having no subordinates. He filed a complaint with the e Equal Employment Opportunity Commission (EEOC), which reportedly found evidence that TCS often falsifies documents for L-1 visa applications. However, as the EEOC does not oversee immigration laws, it did not escalate the case.
L-1A Visas VS H-1B Visas
The L-1A visa is for multinational companies transferring executives or managers to the US, requiring prior employment abroad but no annual cap. It allows dual intent for green card applications, and spouses can work freely.
The H-1B visa is for specialized workers in fields like IT and engineering, requiring employer sponsorship and subject to an 85,000 annual cap and lottery. H-1B holders can switch jobs, but their spouses face work restrictions.
In short, L-1A visas suit company executives, while H-1B visas are ideal for skilled professionals seeking broader job opportunities.
Donald Trump's Stance On Skilled-Worker Visas
When Trump took office in 2017, his administration opposed skilled-worker visas, arguing they threatened American jobs. Kini claimed that TCS executives adjusted organizational structures to align with visa applications and avoid federal scrutiny. However, despite the tough rhetoric, a large-scale crackdown never followed.
In December 2024, Trump softened his stance, saying that he has "always liked the visas." This shift drew criticism from his Make America Great Again (MAGA) base but gained support from tech leaders like Elon Musk.
The Bloomberg-obtained federal data indicates TCS secured far more L-1A visas than the number of managers reported to the US Equal Employment Opportunity Commission, consistently surpassing other employers.
TCS Denies Allegations
Although the allegations were made, the US Department of Justice (DOJ) opted not to intervene in the ongoing lawsuits, suggesting that, at this stage, there is an insufficient basis to warrant legal action, as per the Bloomberg report.
In its legal filings, TCS asserted that it undertook an internal investigation to examine the concerns that were raised. However, the IT firm has refrained from publicly disclosing any specific findings or conclusions derived from this inquiry. "TCS rigorously adheres to all US laws," it firmly stated.
However, experts have pointed out that L-1A visa misuse is a documented issue, with nearly 200 fraud cases reported in the past decade. As Kini’s appeal progresses, skilled-worker visas will remain central to the broader debate on US immigration and employment policies.
