IT cos stepping up off-campus hiring

Off-campus hiring will be good. As far fresher hiring is concerned through campus placement, it is also likely to be better than last year. The campus placement will start from July and continue till September and we hope that overall hiring will be good this year - Siva Prasad Nanduri, CEO of Diensten Tech, tells Bizz Buzz

Bengaluru: Hiring for IT engineers through the off-campus route is likely to be way higher than last year as Indian IT firms are gearing up to add employee count in the coming quarters. Even, fresher hiring from the campuses will be better than last year, though it may not be in record numbers, experts said.

“Off-campus hiring will be good. As far fresher hiring is concerned through campus placement, it is also likely to be better than last year. The campus placement will start from July and continue till September and we hope that overall hiring will be good this year,” Siva Prasad Nanduri, CEO of Diensten Tech, a staffing firm, told Bizz Buzz.

According to Nanduri, growing number of GCCs (Global Capability Centres) in India, and rising technology investment by non-IT firms will drive headcount addition this year. He also said that the job displacement fears owing to AI is slowly receding.

“Organisations are actually waiting for some time to see the impact of AI. Now, they are realising that disruption by AI may not be that high as predicted. Moreover, there are a lot of IT works happening from the GCC point of view in India. It means, many IT firms will get projects from these GCCs. Even IT investment from non-IT firms is growing,” he said.

Especially, hiring by GCCs or technology captives in India remains strong in recent quarters despite tepid recruitment of staffers by Indian IT firms.Recently, a note shared by ICICI Securities said the share of GCCs in India’s GDP is expected to double to two per cent by 2030.

“These offshore units of multinational companies collectively generate about $46 billion in revenue, which is likely to touch $100 billion by FY30,” the brokerage said.

India accounts for around 50 per cent of the world’s GCCs. According to the note, the sector grew by 11 per cent between 2015 and 2023, topping the seven per cent growth registered by the Indian IT services sector in the same period.

Apart from GCCs, Indian enterprises are investing in technology in a big way during past years. The BSNL deal win of Tata Consultancy Services (TCS) worth around $1.9 billion and L&T Technology Services’ deal win worth $100 million from Maharashtra government show that Indian entities- both government and private- are aggressively investing on technology. Last fiscal year saw employee count of most IT firms falling after record hiring numbers post pandemic. The top Indian IT companies cut employee base by around 72,000 people in the last fiscal year ended March, 2024. As employee utilisation rates are touching the optimum levels, Indian IT services companies are likely to start adding staffers again from next quarter, analysts said.