Indian IT to Hire 1 Lakh Freshers – What’s Going On? | FrontPage
AI Summary
Summary of Indian IT Hiring Trends
- Hiring Plans:
- TCS: 42,000 freshers
- Infosys: 20,000 freshers
- Wipro: Rejoining the hiring scene.
- Reasons for Hiring:
- Rising mid-level attrition due to poaching by GCCs, startups, and foreign clients.
- Freshers offer lower salaries, are easier to train, and are highly deployable.
- Cognizant: Hiring 20,000 freshers to support AI and managed services growth.
- Increased utilization rates: Infosys at 82%, aiming for 85% (bench time reduced from 60 to 35 days).
- Layoffs:
- 400 trainees at Infosys Mysuru laid off after failing evaluations.
- Market Strategy:
- Companies are preparing for demand recovery in FY 2026, focusing on AI and cloud infrastructure.
- Buffer hire strategies in place due to current economic conditions.
- Impact of AI:
- TCS states AI has not reduced hiring; Cognizant plans to train 70,000 employees (30,000 trained, 40,000 upcoming).
- Upskilling is a focus for Infosys and HCL, with freshers roles expected to remain.
- Salary Adjustments:
- Deferred hikes from TCS; Infosys: 5-8% for general increases, top performers: 10-12%.
- Wipro and HCL have postponed hikes.
- Attrition Rates:
- Infosys: 14.1%; TCS: 13.3%.
- GCCs are offering better pay and faster growth, increasing competition.
- Future Outlook:
- Hiring pressures as part of a defense strategy for survival, not just growth.
- Indian IT is not fully back but is in a phase of rebuilding and rebalancing, creating opportunities for freshers but with uncertainty.