The Indian IT and tech ecosystem witnessed a 17% surge in new employment opportunities in 2024, fueled by rapid digital transformation and the growing demand for emerging tech job profiles, according to a report by HR platform FirstMeridian Business Services.
“After a muted H1, the sector regained momentum. As we gear up for 2025, these trends will continue, with an average 20% rise in profiles like application developers, software engineers, DevOps engineers, AI, ML, and Cyber Security,” said Sunil Nehra, CEO, IT Staffing, FirstMeridian Business Services.
AI to Play a Pivotal Role in 2025
Artificial Intelligence (AI), a major trend in 2024, is expected to accelerate further in the coming year, the report noted. The Gen-AI industry alone is projected to create 1 million new job opportunities by 2028, contributing significantly to India’s GDP. High-demand roles include data analysts, data engineers, and data scientists. Salaries for Gen-AI positions like Generative AI engineers, Algorithm engineers, and AI security specialists are projected to see a 25-30% increase for mid-level professionals in 2025.
Expanding Opportunities Across Sectors
As businesses innovate and expand, industries like Global Capability Centers (GCCs) have already created over 600,000 jobs between 2018-19 and 2023-24. By 2030, GCCs are expected to employ 2.5 to 2.8 million professionals. Non-tech sectors such as BFSI and telecom are also poised to increase their intake of IT/tech professionals, reflecting the growing importance of digital infrastructure across industries.
“As we move towards an evolving IT landscape in 2025, there will be an essential focus on tech upskilling to cultivate a robust workforce. Large enterprises and mid-sized companies are expected to increase their upskilling budgets by 15-20% on average,” Nehra added.
Gig Economy to Triple by 2030
The Indian IT gig economy is projected to grow threefold, employing 24 million people by 2030, with demand evenly spread between tier I and tier II cities. “Companies are increasingly turning to gig workers for their specialised expertise and adaptability. This trend is driving hiring toward niche technical roles and project-based engagements, making the gig economy a key player in shaping the future of IT talent,” Nehra stated.
Challenges Ahead for the IT Sector
Despite its remarkable growth, the Indian IT sector faces challenges such as a talent shortage in emerging fields like AI and cybersecurity, as well as global economic uncertainties. “While initiatives like Digital India and Skill India are beneficial, further strategies to upskill talent and enhance value amid cost pressures are essential for navigating the next phase of technological transformation,” Nehra said.
The report underscores the Indian IT sector’s potential for growth while highlighting the need for continuous upskilling and strategic planning to meet future demands.
