The global tech sector has been hit by layoffs which have left more than three lakh people without a job, while Indian IT firms have remained resilient. Even as startups are slashing their workforces in India, IT giants such as TCS, Infosys and Wipro have resumed hiring, while the global tech sector has pushed pause.
But the Indian IT sector will face the impact of recession eating into orders from abroad, and will reduce hiring by 40 per cent.
Growth forecasts to sway hiring trends
Although the tech service providers of the country won't resort to a hiring freeze, they'll be slowing down headcount additions.
For the final quarter of FY23, the hiring for the sector will remain flat, tracking the drop in attrition as well as growth.
As for the slowdown in recruitment, things can still turn around or get worse, depending on the forecasts that firms announce in the next six months.
Reasons to remain cautious despite possible advantage
Even as some analysts have predicted that tech firms trying to cut costs globally, may lead to a rise in orders for Indian IT services which are cost-efficient.
But inflation, Russia-Ukraine tensions and now the global banking ciris, are factors keeping IT firms on their toes.
Companies are probably trying to avoid hiring too many people since that has resulted in global tech giants getting burdened by salary expenses.
