With developing technologies predicted to create 20% more jobs in 2025, the Indian IT sector is set for a bright future, according to a Tuesday statement from Human Resources (HR) platform FirstMeridian Business Services.
According to the report, the rapid digital transformation and the corresponding rise in demand for new tech niche job profiles were the main drivers of the 17% increase in new employment opportunities in the Indian IT and tech ecosystem in 2024.
The industry picked up steam following a slow start to 2025, according to Sunil Nehra, CEO of IT Staffing at FirstMeridian Business Services. He also predicted an average 20% increase in positions such as application developers, software engineers, DevOps engineers, AI, ML, and cyber security.
Furthermore, Nehra noted that artificial intelligence (AI), a significant development in 2024, is anticipated to pick up even more speed in 2025.
He added that the Gen-AI sector alone is expected to create 1 million new employment opportunities by 2028, making a substantial contribution to the country’s GDP. He said the sector is poised for extraordinary expansion, with strong demand for professions like data analysts, data engineers, data scientists, and others.
The pay trend for mid-level roles in Gen-AI, such as generative AI engineer, algorithm engineer, and AI security specialist, is expected to increase by 25–30% over the most recent year.
This increase in hiring will help new projects, improve digital infrastructure, and keep up with technological improvements as firms grow and innovate. For example, between 2018–19 and 2023–24, sectors such as Global Capability Centers (GCCs) generated about 600,000 new jobs.
They are expected to have 2.5 to 2.8 million experts working for them by 2030. Furthermore, it is anticipated that other non-technical industries such as telecom and BFSI will hire more IT/tech workers in 2025.
“Tech upskilling will be a crucial focus as we transition to a changing IT landscape in 2025 in order to have a strong employment pool. According to Nehra, most large and mid-sized businesses are anticipated to slightly raise their upskilling budgets by 15–25% on average by 2025.
He added that people will keep taking the initiative to upskill themselves in order to get ready for exciting new-age IT jobs. By 2030, it is anticipated that the nascent Indian IT gig economy will have tripled in size and employed 24 million people.
Between tier I and tier II cities, this demand is anticipated to follow a 1:1 ratio. The expansion highlights a growing reliance on adaptable talent solutions to meet the changing demands of the technology sector.
The gig economy is a major factor in determining the future of IT talent since businesses are increasingly using gig workers for their specialized knowledge and flexibility, which is driving recruiting trends toward project-based engagements and specialized technical skills. Nehra said.
He pointed out that even while the Indian IT ecosystem has stabilized to a greater degree, the industry still confronts several obstacles, such as a lack of skilled workers in cutting-edge domains like artificial intelligence and cybersecurity and the effects of worldwide economic instability.
Even while programs like Digital India and Skill India are helpful, he continued, “navigating the next phase of technological transformation requires additional strategies to upskill talent and enhance value amid cost pressures.”
