Hiring in IT sector may drop by 20% this year: Nasscom

Zee Media Bureau

Hyderabad: As major companies such as TCS and Infosys are putting more focus on automation, less number of people maybe hired in 2016. As per Nasscom, hiring in the IT sector may drop by 20 percent this year.

Last June, the IT industry body had predicted that the USD 143-billion domestic software industry might hire 2.75 lakh in 2016-17, up from about 2.3 lakh during last fiscal.
According to Nasscom chairman C P Gurnani, who is also the chief executive of TechMahindra, the drop in recruitment would not impact the revenue growth which is pegged at 10-11 percent in the current financial year.

"I think we are still maintaining that overall industry will grow at 10-11 percent this year... The hiring will not be as linier as we have seen in the past. The digital world leads to automation, automation leads to relatively lesser recruitments. Secondly, digital also means to get closer to the customer.

With PTI inputs