BENGALURU: The country’s largest IT services company Tata Consultancy Services (TCS) is reviewing contracts with staffing firms. It is said that the company has asked vendors to sign undertakings.
A senior executive of a staffing firm told this newspaper this is a norm followed by all MNCs. This move comes after it was reported that four executives from RMG (Resource Management Group) have been sacked and the company has blacklisted three staffing firms as it is alleged these firms were involved in bribing senior executives of the company who were overseeing recruitment processes.
But immediately after the reports, TCS in a filing had clarified the recruitment activities in TCS are not handled by RMG as alleged, and that the alleged scam in the recruitment process is incorrect.
“On receipt of the complaint, the firm launched a review to examine the allegations in the complaint. Based on the review: (i) this doesn’t involve any fraud by or against the company and has no financial impact; (ii) the issue relates to a breach of the Company’s Code of Conduct by certain employees and vendors providing contractors; and (iii) no key managerial person of the company has been found to be involved,” it said.
Reports suggested the company has appointed a new head for RMG. TCS didn’t respond to queries on the blacklisting of many staffing firms and about the appointment of a new head for RMG.
