The global wave of layoffs in the tech sector is now sharply impacting India’s job market. Hiring in the technology industry has fallen to a 28-month low, while more than 56,000 Indian tech professionals are actively searching for new opportunities, according to a report by staffing firm Xpheno.

The sudden rise in job seekers—more than four times in just one month—has intensified competition and made job switching significantly more difficult across the sector.

Layoffs Push Job Market Into High Pressure Zone

The Xpheno report highlights that over 20 major tech companies have carried out layoffs exceeding 1,000 employees globally since January 2026. As a result, thousands of Indian professionals working in these companies have entered the job market.

What is striking is the rapid increase in job seekers:

• Around 5,000 six months ago

• Nearly 12,000 a month ago

• Over 56,000 currently

This surge includes both employees who have already been laid off and those concerned about job stability. Many candidates are actively engaging with recruitment agencies, reflecting rising uncertainty in the sector.

Hiring Hits 28-Month Low

Overall tech hiring in India has dropped to its lowest level in more than two years. Experts attribute this slowdown to several factors, including:

• Cost-cutting measures by companies

• Increased efficiency due to AI adoption

• Global economic uncertainty

• Cautious hiring strategies across firms

According to industry experts, companies are largely hiring only to fill essential vacancies rather than expanding their workforce. This has reduced opportunities, especially for freshers and senior professionals, while also weakening salary negotiation power for job seekers.

AI and Specialized Skills Still in Demand

Despite the broader slowdown, certain segments of the tech industry continue to show strong demand. Professionals with skills in:

• Artificial Intelligence (AI)

• Cybersecurity

• Multi-cloud technologies

are still finding opportunities in the market.

Recruitment experts note that Global Capability Centres (GCCs) and startups are emerging as key hiring hubs. Companies such as Deloitte, Walmart Global, Wipro, Tech Mahindra, HCLTech, Accenture, IBM, Microsoft, Google, Salesforce, and Flipkart continue to recruit selectively in these areas.

Growing Anxiety Among Job Seekers

The uncertainty in the job market is also visible on social media platforms, where many professionals are sharing their struggles after layoffs. Several users report months of job searching without interview calls, highlighting the intensity of competition.

In response, many candidates are now prioritizing job security over salary, with some even accepting pay cuts to secure employment.

The Bottom Line

The Indian tech job market is currently experiencing a sharp slowdown driven by global layoffs, AI-led automation, and cautious corporate spending. While opportunities still exist in high-skill areas, overall hiring has tightened significantly, making the current environment highly competitive for job seekers.