NewsBite analysis · AI, Business, Startups
The Economic Times
35,000 tech roles on the chopping block as AI takes the wheel at IT
India's technology and software services sector is bracing for significant job losses, with industry estimates indicating a cut of up to 35,000 roles this year. This move is primarily driven by a push for enhanced productivity amid fierce competition. Staffing firm TeamLease reported that between 10,000 and 15,000 tech professionals already faced layoffs until May 2023, indicating a growing trend of what are termed 'silent layoffs'. As companies increasingly adopt AI to streamline operations, the realignment of workforce needs within the industry is becoming increasingly evident.
MonitorConfidence: HighShort term horizonTalent displacement risk: High
Published 9 Jul 2026, 02:30 UTC1 min read
Visit original article ↗Lead image — The Economic Times
Summary
TL;DR
- India's tech sector may cut up to 35,000 jobs due to productivity focus.
- AI is cited as a primary driver for workforce reductions.
- Silent layoffs accounted for 10,000 to 15,000 jobs lost by May 2023.
- Staffing firms predict growing job losses throughout the year.
- Competitive pressures push firms to embrace AI technologies.
Interesting facts
- AI is not only enhancing productivity but also reshaping workforce dynamics.
- The term 'silent layoffs' refers to job losses that occur without formal announcements.
- The tech job cuts in India reflect a broader global trend towards automation.