Infosys wins 'outsourcing' case in US court

21st August 2012
Infosys wins 'outsourcing' case in US court

Montgomery, Alabama ( US) August 20, 2012 – Global Indian leader in consulting and IT, Infosys, has won in the lawsuit filed in the US, by one of its employees, Jack “Jay” Palmer. United States District Judge Myron H. Thompson found no basis to support any of the charges filed by Palmer and dismissed the case entirely, writing, “Judgment is entered in favor of defendants Infosys Technologies Limited Incorporated and Infosys Limited and against plaintiff Jack “Jay” Palmer, Jr., with plaintiff Palmer taking nothing by his complaint.” Judge Thompson further ordered costs against Mr. Palmer.

Infosys reacted: “Today’s decision confirms what we have been saying from the beginning: Mr. Palmer’s claims of retaliation were completely unfounded. This is a company built on core values that include leadership by example, integrity and transparency. Those values always have and will continue to shape the way we do business with our clients and, without exception, the way we treat our people. We are pleased to consider this matter officially closed.”
As the news of the dismissal hit the wires, Infosys stock went up by 2.55 per cent to Rs 2,411.30 on the Bombay Stock Exchange.

This closes a case that since it was filed in February 2011, has helped the anti -outsourcing lobbies in the US go to town with stories of perceived misdemeanor by foreign ( read ‘Indian’) outsourced services leaders, which took the bread out of the mouths of US workers. The Obama administration with a presidential election round the corner, made its own macho contributions that increasingly hamper the ability of Indian service providers to serve their US clients.

Infosys still has one more similar case on its plate: Earlier this month Dev Tripuraneni, a former employee of Infosys in the US, filed a lawsuit in a California court alleging that Infosys took no action after had brought alleged misuse of visas, to the notice of their management.  Infosys said “..the company launched a comprehensive investigation of his allegation… That investigation is continuing. As for comments on the legal matter, we are choosing to concentrate our attention and resources on the investigation. We feel this is the prudent and responsible course of action at this time”.