IT Hiring In India Set To Get ‘Trump’ Boost
The expected improvement in the US economy and potential tightening of visa norms are factors driving this optimism, say experts
IT Hiring In India Set To Get ‘Trump’ Boost
Overall, we expect hiring uptick in coming months in India. Because if visa norms are tightened, companies will like to execute more work from India. Technology companies will still look for cheaper workforce and India has skilled resources at scale -Supaul Chanda, president, Diamondpick told Bizz Buzz
Bengaluru: Indian IT industry is expected to see hiring uptick in the coming quarters with President-elect Donald Trump coming back to power in the United States.
According to HR sector experts, despite all the rhetoric with regard to restriction on immigration, Trump coming back to power has already improved sentiment among IT firms as they see demand environment improving in coming months.
“Overall, we expect hiring uptick in coming months in India. Because if visa norms are tightened, companies will like to execute more work from India. Technology companies will still look for cheaper workforce and India has skilled resources at scale. So, overall visa issuance may go down (under Trump), but overall hiring numbers will improve on the back of better demand environment in the global IT industry,” Supaul Chanda, President-staffing of HR staffing firm, Diamondpick told the Bizz Buzz.
According to sources in the know, many in the Indian IT industry are of the opinion that Trump will help in reviving the US economy, which will push technology spending. So, this augurs well for addition of headcount by Indian service providers.
“If you see, most our US workforce is happy that Trump has come back to power. They are not worried about tightened visa policies or restriction on immigration. They feel that an ailing US economy can only be revived by the Republicans headed by Trump,” said a mid-level executive of a mid-tier IT firm.
Not only, IT and engineering services firms, but also Global Capability Centres (GCCs) of US origin are expecting better days ahead. Chanda said that conversion rate of contractual employees to permanent one is likely to improve in coming months. “GCCs and some global IT services firms take skilled resources on contract and after a certain period of time (say 9 months to 12 months or beyond), some of them are considered to be converted into permanent ones. We see this conversion to improve in coming quarters,” Chanda said.
Notably, several domestic IT companies have already witnessed their headcount growing for the second quarter of current financial year.
Most headcount addition was done by Tech Mahindra, which added 6,653 employees during the Q2 of FY25. India’s largest IT services firm, Tata Consultancy Services’ net headcount increased for the second consecutive quarter. It reported a net headcount increase of 5,726 employees in the second quarter of FY25, following a similar rise of 5,452 in the first quarter, taking its total headcount to 6,12,724. Infosys’ total headcount grew 2,456 to 317,788 by the end of second quarter. This increase was reported after two quarters of decline in the total employee count by the Bengaluru- headquartered firm. Similarly, Wipro added 978 employees in the second quarter, a second consecutive quarter of headcount increase. Its total headcount stood at 233,889 by the end of September.
As US economy is expected to fare better underTrump, Indian IT firms are revisiting their earlier plans to add headcount in coming months, sources said.