Revitalizing Indian IT: From Contraction to Innovation

The Indian IT hiring sector is poised to recover from a challenging 2024, marked by a decline in hiring and delays in onboarding. A renewed focus on AI and data science, along with a geographical shift towards Tier 2 cities, signals a transformative resurgence expected in 2025.

The Indian IT hiring sector is on the brink of recovery following a turbulent 2024 characterized by reduced hiring activities and onboarding delays. The emphasis on specialized skills in AI and data science, coupled with a shift towards hiring in Tier 2 cities, indicates a strategic transformation within the industry.

The year 2024 saw a 7% drop in hiring due to macroeconomic challenges and global uncertainties. However, Global Capability Centres (GCCs) sustained hiring to some extent, despite a significant downturn in the IT services sector. Notably, demand for AI and Machine Learning roles increased by 39%, highlighting a trend towards specialized technology capabilities.

As India looks forward to 2025, industry leaders express optimism with expectations of job growth driven by economic revitalization and capital investments. Companies are set to invest in workforce upskilling and AI integration, projecting a 30-35% surge in demand for specialized tech roles alongside a 15-20% growth in job opportunities across various sectors.

(With inputs from agencies.)