The software services industry will create fewer tech jobs this year as Indian tech companies replace entry levels coding jobs to machines and migrate to just in time hiring of software engineers. Early indications from the industry shows that it will create 2.5 lakh tech jobs will be created this year, down from nearly 3 lakh last year.
While industry lobby body Nasscom has predicted a 7-9% growth of software industry, the reduction in job creation is a clear indication that there is a rapid change in tech horizon. We will create 2.5 lakh jobs this year. These are early indications, said a senior Nasscom official.
The campus recruitment has just begun. TCS hired 20,000 freshers last year, We will recruit nearly the same as last year from campuses, TCS’s Viswanathan said. While traditional recruiters like large tech companies are lowering their recruitment needs, new crop of SMEs, startups and new age business companies are getting aggressive on fresher recruitment. The industry could add between 1 to 1.2 lakh freshers, same as last year, an industry source said.
There is a change in the job requirement for techies, whose roles are moving towards robotic process automation and other niche skills.
In the lateral hiring, a dip is forecast for those in the 2 to 8 year experience bracket. Traditional MNCs in the service sector will see a drop in 15% drop in hiring compared to last year, whereas product companies and startups in the space will see a rise. But the jump will not be enough to offset the drop in recruitment by the service sector (read large tech companies), said Aditya Mishra, CEO, Ciel HR Services.
The drop in hiring is confined to the service sector only and not across the spectrum. GICs are recruiting, said BN Thammaiah, MD, Kelly Services.
HR firm Kelly Services sees a 7 to 10% reduction in tech jobs this year, as a role realignment happening among professionals having experience levels of 2-4 years.