US jury finds Cognizant discriminated against non-Indians.
A district court jury in the US has determined that IT major Cognizant discriminated against employees who were not Indian citizens or of South Asian descent.
The verdict came in a class action suit against the company, which had claimed it abused the H-1B visa system meant for specialized workers.
As per the allegations, Cognizant removed non-Indian staff from projects and kept them “benched” without work before firing them, per company policy.
Cognizant obtains hundreds of H-1B visas annually to place Indian citizens in Bay Area jobs with firms like Google, Apple, and more.
However, the lawsuit argued such hiring, promotion, and termination practices had an “adverse impact” based on nationality and race, harming those not of South Asian origin or Indian nationality.
The suit further stated the policies bore no relation to the positions concerned and did not constitute a business necessity.
While Cognizant plans to appeal, it maintains a policy of equal opportunities and promoting diversity and inclusion. But the jury ruling has indicated it discriminated on national grounds.
The verdict, if upheld, could have major implications for the usage of H-1B visas by Indian outsourcers operating in the American tech hub.
