Layoffs rising: Should India’s IT sector rethink its mid-level roles?

India’s technology industry has long had a reputation for managing projects with many layers and big teams, but these layoffs make it clear that things have changed. With the move towards leaner organisations and the rise in AI, the jobs in the middle of the company structure are now under more threat. Experts warn that many mid-senior employees in India could lose their jobs if companies follow what is happening globally.

Why do tech employees have something to worry about layoffs?

Current technology job losses demonstrate that tech jobs are less secure than they have ever been. No company, no matter how much money it makes or how respected it is, can avoid going through restructuring. At every level, people are losing their jobs, from helpers to senior managers and even workers in rapidly growing sectors. As businesses begin to automate tasks and put more focus on engineering talent, roles dedicated to coordination, reporting or watching over things are usually the first cut.

The latest round of job cuts proves that anyone working in tech can’t expect to keep their jobs forever, even if the company has done well in the past. The big layoffs hit top leaders at Microsoft as well; the Director of AI for Startups was one of those let go as part of the larger restructuring. It shows that being laid off is possible for all, at any level and is often the result of company reorganisation, not someone’s work.

Sundar Pichai, CEO of Alphabet/Google, delivered his remarks about the transformative impact of AI at the AI Action Summit held in Paris, France, in February 2025. He emphasised that “AI will be the most profound shift of our lifetimes” and highlighted both the opportunities and the need for continuous learning and adaptation as AI becomes central to every industry.

Rising adoption of AI means the market unpredictability is increasing even faster. IBM has openly replaced hundreds of jobs in HR with AI and many other tech companies are doing the same. As businesses become more and more efficient by automating their workflows, jobs concentrated on coordination, reporting and control start to face risks.

Layoffs: Get ready to adapt or you’ll miss out!

Technology employees in India and elsewhere have learned from Microsoft’s layoff that being adaptable is very important. Developing in AI, data analytics and other new areas has become a necessity for survival today. Employees without technical skills must find ways to develop new abilities or else bow out when companies adopt artificial intelligence.

All things considered, Microsoft’s latest budget cuts mean much more than just a corporate shake-up. They tell the entire tech world in India that days of huge corporate management and job security are gone. Because the business world is always innovating and using automation, only the adaptable can succeed. All tech employees need to know that layoffs can occur at any stage in any organisation and staying prepared and adaptable is the best way to protect yourself.

Rohit Adlakha, Chief Digital Officer at DXC Technology said on his LinkedIn post, May 2025 that “The future belongs to those who embrace change. Indian tech professionals must proactively engage with emerging technologies like AI and automation to secure their place in the evolving workforce.”

Future outlook

The takeaway for Indian tech professionals is that regular learning, mainly in AI, data analytics and modern technology areas, is important. Non-technical managers and those in middle management should make active efforts to stay ahead or run the risk of falling out of the industry’s progress. You could face layoffs anytime, in any company, since these decisions are shaped by what’s best for the business and the qualities of the employee.