IT hiring may slow down next year

Looming global recessionary fears may keep hiring in the information technology (IT) sector muted in 2023. Hiring is expected to grow by about 10%, which is almost half of the 15-20% rise witnessed in 2022 versus 2021. However, the sectors driven by domestic demand like FMCG, retail, real estate, construction, automobiles, hospitality, among others, could see a good growth of 15-20%.

Consultants in the human resources space told FE that there will be a moderation in hiring in the IT space, but will not see a decline as replacement hirings will continue with attrition remaining high. “Attrition will continue in the range of 15-20% for IT companies. We may not see expansion hirings but we will clearly see replacement hirings,” said Kamal Karanth, co-founder, Xpheno — a Bengaluru-based specialist staffing firm.