Recruitment Scandal: Six vendors, along with their owners and associates, are now prohibited from conducting any business with TCS.
India’s leading IT services firm, TCS, announced on Sunday that it has terminated 16 employees and imposed restrictions on six vendors due to their involvement in a “recruitment scandal.”
In a late evening statement, the company disclosed, “Our investigation identified the involvement of 19 employees. Of these, 16 employees have been dismissed for violations of our code of conduct, while three employees have been reassigned from their roles in resource management.”
Furthermore, TCS stated that it has taken the decision to “debar” six vendors, including their proprietors and associated individuals, from engaging in any business transactions with the company.
In late June, news emerged about a “recruitment scandal” within the largest software exporting company. It was alleged that certain vendors responsible for specific functions had engaged in unethical practices in collaboration with TCS employees.
These allegations arose shortly after K Krithivasan assumed the role of the company’s chief executive, marking the first significant challenge of his tenure.
The problem pertains to violations of the company’s code of conduct by specific employees and vendors who provide contractors,” the statement explained.
TCS stated that their investigations concluded that none of the company’s senior management personnel were implicated, and emphasized that this is not a case of fraud against the company. Additionally, they confirmed that this situation has no financial ramifications.
In its statement, TCS expressed its commitment to further strengthen governance measures. This includes the regular rotation of personnel in the resource management function and the enhancement of analytics for supplier management.
The company emphasized that it anticipates full compliance with the Tata code of conduct from all stakeholders and employees. TCS reaffirmed its unwavering stance of zero tolerance towards unethical behavior.
