Funded Tech start-ups and GCCs showed positive signs with a 13 per cent increase (17,000) and 2 per cent increase (11,000) respectively. GCCs now account for around 10 per cent of the total tech talent demand
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Talent demand in India’s tech sector continues to see a slowdown, with active job opening projections in the sector down 27 per cent year-on-year in October, according to a report from specialist staffing firm Xpheno.
The sector has turned sluggish over the last 4 months with its contribution to India’ total talent demand now at 48 per cent, down significantly from the high of 84 per cent in 2022.
Among the various cohort of tech companies, demand was down by 24 per cent y-o-y in IT services with 42,000 new openings, while software products declined 22 per cent at 26,000.
Funded Tech start-ups and GCCs showed positive signs with a 13 per cent increase (17,000) and 2 per cent increase (11,000) respectively. GCCs now account for around 10 per cent of the total tech talent demand.
Kamal Karanth, co-founder, Xpheno, said that active jobs outlook for October is largely in line with the overall downward trajectory seen since early 2025. “Hiring action in India’s tech sector remains sluggish amid challenges with discretionary tech spending and sustained headwinds in IT. While the sector has registered a few green shoots in demand volume and velocity, it’s few and far apart,” he said. Karanth added that the decline of the IT services cohort is a particularly grave matter of concern, with the recent events in the US market front set to further impact the cohort’s demand outlook in the near-term.
Entry-level jobs
Among the different job levels, mid-junior level opening marked the sharpest decline at 28 per cent y-o-y, followed by entry level (down 19 per cent) and mid-senior level(down 10 per cent) openings.
Functionally, core tech and engineering functions dominate active demand with a 57 per cent contribution. Despite this, the demand for and intake of tech and engineering talent has dropped 25 per cent y-o-y. Project Management and other tech functions have also seen a decline except the Consulting & Advisory function which has seen an 18 per cent rise.
In terms of locations, mega cities collectively saw a 29 per cent y-o-y decline in job openings with Delhi, Mumbai and Bengaluru posting the highest declines in that order. Tier 2 and Tier 3 locations, however, posted a 41 per cent month-on-month increase and 2 per cent y-o-y increase with 24,000 openings.
Published on October 2, 2025
