India’s tech hiring ticks up as job demand rises 9% in March

India’s technology hiring market shows early signs of stabilisation in March, with active tech job openings rising 9% month-on-month to about 119,000 roles, according to data from specialist staffing firm Xpheno.

The increase marks the highest level of active demand in more than three quarters and is about 16% higher than the low recorded in August 2025, suggesting a potential near-term improvement in hiring momentum after a prolonged slowdown.

“Active talent demand has moved up notably over the last two months, which is an encouraging signal for the market,” said Kamal Karanth, co-founder at Xpheno. “While hiring volumes remain below last year’s levels, the sustained improvement indicates the market could be moving toward stabilisation.”

However, hiring activity continues to lag last year’s levels. Active openings in March are still about 19% lower than March 2025, reflecting the broader slowdown that began in the second half of 2022 as companies recalibrated hiring amid macroeconomic uncertainty and rising investments in automation and artificial intelligence.

IT services remain key demand driver

IT services companies remain the largest consumers of tech talent, accounting for around 46,000 active openings in March. Demand from the cohort rose 7% month-on-month but remains about 16% lower compared with the same period last year.

Global capability centres (GCCs) contributed about 19,000 active openings, or roughly 16% of total demand. Hiring from this segment rose 6% month-on-month and is about 6% higher year-on-year as multinational companies continue expanding their technology and engineering operations in India.

Overall, the tech sector currently accounts for about 51% of India’s total active job demand, crossing the 50% mark for only the fourth time in more than three years.

Tech hiring spreads beyond tech firms

The mix of technology hiring is also shifting across industries. Core tech and engineering roles account for about 55% of total demand, though hiring in these roles has fallen 12% compared with March 2025.

Notably, tech companies now account for only about 47% of all technology and engineering roles open in the country, while non-tech sectors collectively account for the remaining 53%. Industries such as financial services, manufacturing and retail are increasingly driving demand as they ramp up digital transformation and AI adoption.

Mid-level hiring dominates

Mid- and senior-level roles continue to dominate hiring demand, accounting for about 53% of active openings and rising 5% from the previous month. Entry-level hiring has shown only modest improvement, with around 15,000 openings for professionals with up to two years of experience, slightly higher than February but still about 10% lower year-on-year.

Full-time roles make up about 74% of total openings at roughly 88,000 positions. Contract roles account for about 20%, while internships and part-time roles are also seeing gradual growth.

Hiring remains concentrated in tech hubs

Geographically, about 64% of active openings are concentrated in India’s major technology hubs. However, hiring volumes in these megacities have fallen about 30% compared with a year ago. Demand in tier-2 and tier-3 cities has grown 10% month-on-month, though it remains about 7% lower than last year, reflecting the uneven pace of recovery across regions.

Work-from-office roles continue to dominate hiring, accounting for around 72% of active openings and rising 10% from the previous month. Fully remote roles grew 13% month-on-month, while hybrid opportunities remained largely unchanged.

While overall hiring activity remains below last year’s levels, Karanth concluded that the sequential rise in active openings suggests the technology job market could be gradually turning a corner after more than two years of slowdown.