Tech Giants Pause Hiring in India Amid Global Turmoil

    Recent reports suggest that major tech companies, including Google and Amazon, are on the verge of pausing their hiring processes in India. The development comes in the wake of a significant decline in job postings by these companies, with a staggering 90% drop recorded in 2023 compared to the previous year.

    As per industry experts and IT analysts, the next two quarters are likely to see a continuation of the cautious hiring trend. This is attributed to a decrease in demand and an increased focus on maximizing employee productivity.

    The data indicates that the tech sector has been significantly impacted by the economic slowdown and looming recession fears, leading to a drastic reduction in hiring. By the end of 2022, there was a 78% decrease in active job postings from major tech companies compared to July, hitting a low not seen in the past 18 months.

    hiring slowdown in india

    Currently, the total number of job openings worldwide across major tech companies and their affiliates is less than 30,000. These tech giants, which include Microsoft, Amazon, and Google, have reduced their workforce by hundreds of thousands globally.

    It’s worth noting that the leading tech companies, such as Facebook, Amazon, Apple, Microsoft, Netflix, and Google, employ just under 150,000 people in their primary operations and captive units in India. However, 2023 saw a significant slowdown in their hiring activities.

    Rishi Jhunjhunwala, a senior vice president at IIFL Securities who specializes in IT, expressed cautious optimism. He suggests that recruiting may gradually increase in 2024 as the industry adjusts to the overhiring that occurred in 2023. Despite the growth outlook not being fully restored, there are indications of a slow but steady improvement in the upcoming year.

    the big six hiring slowdown

    The Big Six tech firms, namely Facebook (Meta Platforms), Amazon, Apple, Microsoft, Netflix, and Google (Alphabet), have reportedly registered a steep decline in their active job postings in India. Data compiled by specialist staffing firm Xpheno indicates that the current active hiring numbers are down by more than 98% to 2023, compared to the typical active hiring volume in India.

    hiring slowdown 2023 2024

    The hiring pause coincides with a global economic slowdown, which has led to uncertainty around pipeline conversion, project ramp-downs, sluggish revenue growth, and a cautious approach by clients. Prasadh MS, head of workforce research at Xpheno, suggests that the low to no hiring action maintained by the cohort over the years will continue to impact tech talent movements, especially in the experienced lateral layers.

    hiring slowdown 2023 2024 future lookout

    Industry experts predict that this cautious approach is likely to persist for the next two quarters, with hiring remaining subdued in the near term. The focus is expected to shift towards improving employee utilization amid weakened demand. The total number of active listed openings globally is currently under 30,000 across the Big Tech players and their affiliates.

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