India's $250 billion information technology industry is experiencing a significant surge in demand for software engineers trained in cutting-edge technologies. This trend follows a period of decline in the IT and Information Technology Enabled Services (ITES) sectors, which saw attrition rates of 27% in 2022 and between 16-19% in 2023, according to Frontline.
Basic coding skills are becoming obsolete, and industry specialists predict that around 900,000 to 1 million new jobs will be created in the next 18 months. This hiring wave is expected to match the growing demand driven by rapid digital transformation across both tech and non-tech sectors, as highlighted by a report from Teamlease Digital, a staffing firm.
The demand for software engineers rose by 17% in 2023 and is anticipated to increase by 22% by 2025. This growth spans various sectors, including banking, finance, telecommunications, professional services, business consulting, Global Capability Centres (GCCs), healthcare, and automotive/electric vehicles (EVs).
"In India, the need for skilled software engineers remains strong, with 5.2 million professionals currently active in the field," stated Krishna Vij, Business Head at Teamlease Digital according to Economic Times. "We expect a substantial rise in demand over the next 18 months. This growth is driven by technological advancements and widespread digital adoption across industries, creating new opportunities in AI and other emerging technologies," she added.
Despite volatility in the tech job market, software engineers continue to play a crucial role, in managing complex projects in a constantly evolving environment. The increasing demand is also evident in non-tech sectors such as retail, government, healthcare, entertainment, and education, broadening the scope across various industries, according to Vij.
A survey by executive search firm Flexiple, involving over 1,000 hiring managers and engineers, revealed that 28% are actively seeking data scientists, 26.5% are looking for AI engineers, 24.5% need frontend engineers, 12.3% are in search of backend engineers, and 8.8% want DevOps specialists.
Engineering expertise continues to drive the software development lifecycle across diverse engagement models, including legacy system modernisation, cloud-native development, middleware integration, and heterogeneous tech stack management across applications and data.
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