IT Companies Could Hire 15,000 to 50,000 New Employees Despite Slowdown: Expert

IT companies have of-late been in the news for all the negative reasons. The one that is most concerning is laying off of employees across various divisions. The most recent case being the American multinational technology company Amazon firing over 18,000 employees. In addition to this, the company had also let go of employees in November 2022.

The company said that it had to take this decision as they had hired “too quickly” over the past two years. Impacted employees belonged to devices and books businesses, people, experience, and technology (PXT), and Amazon Stores. Apart from Amazon, Salesforce also announced its plans to eliminate roughly 10% of its entire staff base and close operations worldwide. Following the pandemic, the firm allegedly boosted recruiting but is now trying to manage to spend because of the current economic recession. Twitter and Meta also were in the news for firing employees.

However, amidst all this grim new there may be something to cheer about. Sachin Alug, CEO, NLB Services, which is a global technology and digital talent solutions company, says that factors such as 5G adoption across sectors and advent of new age technologies may lead to a boost in hiring in IT companies. “The IT sector has been witnessing a slowdown in hiring for over 6 months, and the last quarter's results echo the same sentiments. Every year the 3rd quarter is slow for hiring due to the holiday season, and the impact on hiring due to geopolitical scenarios, impending recession and cost conservation by companies is expected to continue for the next few months. Despite the headwinds, a few domains like Blockchain, Cybersecurity, DevOps, and Cloud Computing will continue to be in demand owing to new deal wins declared by IT majors in the recent results,” says Alug.

He further adds that: “These skills will also witness an increased demand in non-tech sectors like Telecom, BFSI, and Healthcare. Furthermore, skills like Big data analytics, Data Science, AI and ML, and Cloud Computing will require more professionals to address 5G adoption demands across segments. Despite the muted quarter, we expect campus hiring to continue with nearly 15000 – 50000 new hires by IT majors in 2023. Attrition will continue to decline due to a lateral hiring freeze."