The IT jobs market in India has started FY27 on a restrained note, reflecting a shift from the steady growth the sector was known for. After showing some recovery in early 2026, hiring activity has slowed again, with April data indicating a dip in momentum.
According to Xpheno’s Active Tech Jobs Outlook for April 2026, active tech job openings stood at 110,000. This represents an 8% drop from the previous month, although there is still a 7% rise in demand compared to the same month a year ago. The numbers suggest that while the market has not weakened drastically, it is struggling to maintain consistency.
Signs of instability in hiring trends
The latest figures also point to a broader trend. April’s decline has effectively reversed gains made in the first two months of the year, making March the recent high point. More notably, FY27 is set to record the second-lowest start to tech hiring demand in over six years.
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The sector’s share in overall job demand has slipped to 49 per cent, falling below the 50 per cent mark after several months. This indicates that tech hiring is no longer expanding at the same pace as before.
Pressure across key segments
The slowdown is visible across major hiring categories. IT services, the largest employer, reported 43,000 openings, down 7 per cent both month-on-month and year-on-year. Global Capability Centres saw a sharper drop, with demand falling 21 per cent to 15,000 roles.
These trends suggest that companies are focusing more on cost control and efficiency rather than expansion.
Early-career roles take the biggest hit
Freshers and early-career professionals are facing the toughest conditions. Entry-level hiring remained flat at 15,000 roles and is still 11 per cent lower than last year. Mid-junior roles declined sharply by 25 per cent to 6,000 openings.
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This has reduced entry points for new job seekers and increased competition for available roles.
Despite the slowdown, hiring has not stopped. Full-time roles continue to dominate with 85,000 openings, though slightly lower than before. Companies are also refreshing existing listings instead of creating new ones, reflected in a 42 per cent freshness index.
There is also a gradual shift in hiring locations. While major cities still lead, Tier 2 and Tier 3 cities are seeing a 10 per cent year-on-year rise in demand.
