(MENAFN- KNN India)
New Delhi, Jul 16 (KNN) In a significant shift from recent trends, India's major IT companies are poised for a substantial workforce expansion, with plans to hire between 40,000 and 50,000 new employees each.
This move comes as the industry seeks to capitalise on the burgeoning domestic IT services market, according to recent reports from recruitment firms.
The past 12-18 months saw a slowdown in IT recruitment following the unprecedented growth during the COVID-19 pandemic. Many large India-based companies even experienced a reduction in their workforce.
However, with the Indian economy projected to be among the world's fastest-growing, the demand for IT services within the country is expected to surge.
TCS CEO Krithivasan recently highlighted the potential of the domestic market, suggesting that India could emerge as a "third pillar of growth" alongside North America and Europe.
This sentiment is reflected in TCS's Q1 FY25 results, which saw India's contribution to total revenues rise to 7.5 per cent, up from 4.9 per cent in the previous fiscal year.
The optimism is further bolstered by IDC's forecast of an 11 per cent growth in IT spending in India, reaching USD 44 billion in 2024. To harness this growth, IT firms are recognising the need to rapidly expand their talent pool within the country.
However, recruitment firms warn that finding the right talent may prove challenging, particularly due to the evolving nature of technology roles driven by Generative AI.
Sachin Alug, CEO of NLB Services, notes that while Indian IT companies are major employers, they face competition from multinationals and Global Captive Centres offering better compensation and growth opportunities.
The demand for AI-related roles such as chief AI officers, data analysts, and AI solutions architects is particularly high, with companies offering salaries up to 56 per cent above average to attract qualified candidates.
A survey by Indeed reveals widespread optimism about AI's potential to create new job opportunities, with 85 per cent of employers and 63 per cent of job seekers expressing positive sentiments.
Sashi Kumar, Head of Sales at Indeed India, compares the impact of AI to that of the internet, emphasising its transformative potential across industries.
The IT sector has seen significant growth in job postings, particularly in tech hubs like Hyderabad (41.5 per cent increase) and Bengaluru (24 per cent increase). Job seeker interest has also spiked, with clicks on IT job postings rising by 161 per cent in Hyderabad and 80 per cent in Bengaluru.
Sundar Eshwar of Xpheno Consulting projects that the tech sector's net growth for the current fiscal year will be between 200,000 and 250,000 jobs, similar to FY2024.
This translates to over 325,000-350,000 new hires to compensate for previous degrowth and expansion, with top IT firms expected to contribute more than 60 per cent of this growth.
(KNN Bureau)
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