Indian IT sector recruitment is undergoing a major transformation as technology hiring grew 10% year-on-year, even though entry-level IT jobs declined, according to a new foundit report released on Thursday. The shift reflects rising demand for AI-related skills, digital transformation, and technology talent across industries such as banking, manufacturing, healthcare, and Global Capability Centres (GCCs).
Indian IT sector recruitment grows despite fewer fresher roles
The report from job site foundit said AI-led roles now account for 4 per cent of entry-level hiring, up from around 1 per cent a year ago.
Rather than hiring graduates primarily to build AI models, employers are increasingly recruiting talent to operate, validate and optimise AI systems.
AI hiring expands beyond traditional IT companies
The IT industry’s share of fresher hiring eased from 32 per cent to 24 per cent, signalling that many technology roles are now being created outside traditional IT firms — in banks, manufacturers, healthcare companies and global capability centres.
The IT occupation index rose 10 per cent year-on-year while the IT industry index fell 6 per cent.
Experienced professionals remain in high demand
Fresher hiring overall declined 2 per cent month-on-month and 10 per cent year-on-year. Across the market, the 7–10-year experience band was the only cohort to grow, up 2 per cent month-on-month and 11 per cent year-on-year.
One in four entry-level IT jobs has disappeared over the past year, even as demand for tech work has continued to grow.
Healthcare, engineering and sales emerge as hiring leaders
“The organisations that keep hiring graduates through a slow year are investing in future capability — they’re building tomorrow’s leadership pipeline rather than competing for an increasingly expensive experienced workforce a few years down the line,” said Tarun Sinha, CEO, foundit.
Sales & business development rose from 18 per cent to 20 per cent of fresher hiring, engineering & production from 6 per cent to 8 per cent, and medical roles from 7 per cent to 11 per cent — the largest gain of any function.
STEM graduates continue to dominate hiring, accounting for 42 per cent of fresher hiring reflecting sustained demand for technical capabilities.
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