- Digital skills, generative AI, and data analytics remain in high demand, signalling exciting prospects for India’s skilled workforce.
- Roles in cybersecurity, cloud, and infrastructure maintain a steady, neutral momentum.
- Sectors such as IT and BFSI showed the highest tech-focused intent-to-hire in Q1FY24.
Mumbai, 29th August 2023: Quess Corp, India’s leading business solutions provider, today launched ‘The Skills Report’ offering insights into the technology skills enabling the future of work in India. The report reveals that the demand for talent with tech skills such as Development, SAP, Automotive Design, Testing, and Infra Support, among others, has seen a surge in Q1FY24. Upskilling across industries has been a strategy adopted by companies over the last year to bridge the emerging skill gap in India.
Commenting on the landscape for tech hiring, Vijay Sivaram, CEO, Quess IT Staffing said, “Amid macroeconomic headwinds affecting the US and Europe, the IT services sector faces a downward hiring trend of 25-30%. However, this situation has opened up new opportunities, with GCCs ramping up talent acquisition and projecting an estimated employee strength of 1.4 million, hiring is likely to increase by 10%. Our nation is currently at the forefront of global technology advancements, benefiting from the best demographic play and a highly educated STEM Talent Pool. The Indian stock markets continue to outperform, reflecting the confidence of investors in our thriving tech sector. As we witness substantial infrastructure changes all around us, Foreign Institutional Investments (FIIs) are pouring funds into India, bolstering our economy. India’s tech industry is well-positioned to overcome uncertainties and seize opportunities.”
78% of aggregate demand emerged from 5 tech skill suites
Among functional skill suites with the highest intent-to-hire in Q1FY24, development roles (28%) held the highest share. Demand for developers skilled in over 65 technical proficiencies and platforms was noted. Interestingly, Full Stack skills exhibited consistent and upwardly trending demand within the consulting, automotive, banking, and telecom sectors. The demand for SAP (16%) expertise has consistently remained high, encompassing both development and implementation aspects. As per Quess, a surge in demand for these proficiencies was particularly high within the consulting and GCC client domains.
Automotive design (14%) is another one of the top skills in demand. The global and Indian automotive sectors are experiencing a surge in demand for talent, which is attributed to the increasing adoption of digitization and the need for technologically adept skills. Moreover, an increase in demand for testing skills (12%) in both manual and automated domains. Notably, there’s a pronounced demand for proficiencies in Selenium, TOSCA, Workday, and ServiceNow.
Across several industries, demand for IT infrastructure support skills (8%) remains consistent, encompassing both L1 and L2 support, spanning a diverse range of over 30 aspects. Alongside these functional skill suites, we observed a substantial demand for proficiencies encompassing Data Science, DevOps, Cloud, ERP, Cyber Security, Artificial Intelligence, Machine Learning, UI/UX and other related domains.
Need for diverse hiring frameworks to bridge the talent-supply gap
In order to bridge the talent demand-supply gap, the industry needs to find ways to augment manpower supply through various hiring frameworks. Leveraging Center of Excellence programs, which maintain a reserve of pre-evaluated and skilled candidates, will facilitate swift recruitment schedules for conventional technology skills. In the case of technological competencies that are inadequately supplied in the marketplace, companies can employ Hire-Train-Deploy programs to afford candidates the chance to bolster their proficiency and remain current with contemporary technologies.
Industry-Wise Demand for Digital Skills
Analysing the overall sectoral spread for tech skill demand, the IT sector (15%) emerged with the highest share, followed by BFSI (15%), and Digital Engineering (13%). Telecom and Healthcare industries have also seen improved sentiments. As the world moves towards renewable energy, the oil and gas sector is being compelled to overhaul their business models and decision-making methodologies to remain competitive. To achieve this, they are turning to digital solutions to unearth new revenue streams, increase production, and drive down costs. Advanced technologies such as data analytics, artificial intelligence, and the Industrial Internet of Things are enabling companies to optimize complex processes and respond more effectively to volatility, shocks, and disruptions.
Tech hiring dominated by IT hubs
Hiring activity across India was primarily dominated by IT Hubs in Karnataka, Maharashtra, Tamil Nadu, Telangana and Haryana. Remote working mandates and improved data services infra have enabled an upswing in hiring across Tier 2 and 3 cities, particularly in E-Commerce and Financial Services firms. We have deployed associates in cities like Jaipur, Coimbatore, Indore, Kochi, Gulmarg, Siliguri and more.
Methodology
This report is based on data from Quess IT Staffing’s operations which map demand and supply in the talent ecosystem. The findings speak to the evolving aggregate tech hiring demand and related insights to offer a clear understanding of what the talent market looks like. This report focuses on the quantum of demand in Q1FY2024.
