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IT sector adds 16,055 jobs in first half of FY27 amid weak demand

India's information technology companies have added modest headcount during the first half of FY2026-27, primarily through fresher recruitment and targeted hiring for emerging skills. However, industry observers caution that artificial intelligence disruption and continued tepid market conditions pose significant headwinds to employment growth.

LSN India · 23 October 2026

IT sector adds 16,055 jobs in first half of FY27 amid weak demand

The Indian IT sector expanded its workforce by 16,055 employees during April-September FY27, reflecting a measured approach to hiring as companies navigate uncertain global economic conditions. The net additions comprised mainly entry-level positions and specialized roles in high-demand technology domains, signaling a shift in recruitment patterns across the industry.

Fresh graduate hiring programmes have emerged as a key driver of workforce expansion, allowing IT services firms to balance cost considerations with the need to replenish talent pipelines. Simultaneously, companies have maintained selective recruitment in areas such as artificial intelligence, cloud computing, and cybersecurity, where skills shortages persist amid broader hiring caution.

Industry analysts warn that persistent external headwinds continue to constrain employment momentum. Subdued demand from global clients, coupled with accelerating adoption of AI-driven automation, has prompted companies to adopt measured hiring strategies. The trend reflects broader concerns that technological displacement may outpace job creation in the sector.

The modest hiring gains underscore the IT industry's transition phase, as companies recalibrate business models and workforce composition in response to rapid technological change. While fresher intake sustains overall employment growth, sustained demand recovery remains critical for more robust job creation in coming quarters.