Indian IT Industry: Effect of Recession! Hiring in IT sector may decrease by 40% in FY24

Indian IT Industry: The sector on which the effect of the global recession is visible the most is the IT sector. Retrenchment is being done in IT companies on a large scale all over the world including India. The names of many Indian companies are also included in this. Now its effect can also be seen on campus hiring. In the news published in the Economic Times, quoting the data of TeamLease, it has been said that in the financial year 2023-24, Indian IT companies can do up to 40 percent less hiring.

New recruitment to fall drastically in FY 24

According to the data of TeamLease, in the financial year 2023, IT companies have recruited a total of 2.8 lakh people. At the same time, by the next year, a big decline of about 30 to 40 percent can be registered in it. The biggest reason for this is that a decrease in the growth rate of companies can be seen in the next few days. Its effect will be seen on the hiring of the sector.

Why there could be a shortfall in hiring?

Significantly, the last one year has not been good for the tech sector. There has been a huge decline in the profit margin of the companies. Where global challenges have increased due to the Russia-Ukraine war, on the one hand, the banking crisis in America and Europe has increased the troubles manifold. In such a situation, Indian IT companies want to spend minimum money in view of the changing global situation. In such a situation, it can reduce the new recruitment to reduce its expenditure.

Highest layoffs in the tech sector

According to Bloomberg’s report, a total of more than 3 lakh people have been laid off this year in the US tech industry. According to data from January to March 2023, more than 500 tech companies have laid off more than 1.5 lakh people. In the last few months, at least 36,400 people in India have become unemployed due to the rapid layoffs in the big companies. On the other hand, in the year 2022, if we talk about the total year 2022 in the tech sector, a total of 1.6 lakh people were laid off in tech companies. This includes the names of giant companies like Twitter, Meta, Amazon, Microsoft etc.

Read also-

IPO News: Good news for investors! This server making company is bringing IPO of 700 crores

Get the more latest Business news updates

Scroll to Top