A Recovery of Two Halves
On the surface, the numbers look promising. In October 2026, India's technology sector had around 1.23 lakh active job openings, a 17% increase year-on-year and the highest level in a year and a half. This recovery, extending over several months, has
been largely driven by the IT services sector, which accounts for about 66,000 of those roles. However, this headline figure masks a significant underlying trend: the recovery is heavily skewed towards experienced professionals. Mid-senior positions, for those with established careers, make up 55% of all active tech jobs. In contrast, entry-level openings have seen a sequential dip, creating a more complex and competitive environment for fresh graduates.
The AI and Specialised Skills Boom
The single biggest driver of this lopsided growth is the explosion in demand for specialised skills, particularly in Artificial Intelligence (AI) and Machine Learning (ML). Hiring for AI/ML roles has consistently outpaced the broader market, with some reports showing growth rates of 20% to nearly 50% year-on-year. Companies are no longer just experimenting with AI; they are embedding it into their core operations. This has created a surge in demand for AI engineers, data scientists, and cybersecurity experts. The demand is so pronounced that it has created a 'two-tier' labour market, where professionals with proven expertise in areas like generative AI and cloud computing command significant salary premiums over those in more traditional roles. This shift is not just about adding headcount; it's about acquiring specific, high-impact capabilities.
The Diverging Fortunes of Companies
Just as roles are seeing different growth rates, so are companies. Global Capability Centres (GCCs) of multinational corporations are becoming hiring powerhouses in India. GCCs have ramped up hiring for high-value technology roles, with their active openings increasing by 64% year-on-year, now accounting for about 15% of all tech demand. These centres are moving beyond cost-saving operations to become hubs of innovation, seeking senior talent like architects and product leads. In contrast, the hiring patterns at some of the largest Indian IT firms and startups are more measured. While startups are hiring again, they are doing so selectively, focusing on specialised senior talent rather than mass recruitment. The largest IT services firms, despite driving volume, are also becoming more selective, often allowing attrition to reduce headcount in some areas while hiring for niche skills in others.
The New Reality for Job Seekers
For anyone navigating the current tech job market, the message is clear: skills and experience are paramount. The days of degree-based mass hiring are fading, replaced by a focus on demonstrated competency. Companies are looking for job-ready talent that can deliver immediate value, especially in a world where AI is becoming a baseline expectation even in non-tech jobs. This has widened the skills gap, where there are abundant opportunities but a shortage of professionals with the right qualifications. Another significant shift is the return to office-based work. As of October 2026, work-from-office roles accounted for 81% of active tech jobs, with remote and hybrid opportunities seeing a sharp year-on-year decline. This indicates that employers are re-emphasising in-person collaboration as part of the new hiring landscape.
