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Technology

IT firms rebalance employee pyramid through entry-level hiring

hellohimachalse@gmail.com 13 Aug 2026 2 hours ago

hiring resumed

  •  IT firms have resumed hiring engineers with 2-3 years of experience after a sharp decline last fiscal
  •  Demand is centred on candidates with AI and related technology skills
  •  GCCs are also recruiting entry-level talent for AI projects
  •  Reduced fresher hiring in recent years weakened bench strength and distorted the employee pyramid

Bengaluru: Indian IT services companies have renewed hiring of software engineers with 2-3 years of experience after a significant dip throughout the last financial year.

Industry experts said engineers with 2-3 years of experience are back in demand as IT firms seek to correct the employee pyramid and strengthen project execution capabilities.

“We have been hiring engineers with 2-3 years of experience in recent months for IT companies for specialised AI skills,” said Aditya Narayan Mishra, CEO of staffing firm CIEL HR, during the company’s Q1FY27 earnings conference.

This marks a shift from the earlier trend, when companies reduced onboarding of entry-level engineers as artificial intelligence automated many L1 and L2 job functions. However, things are slowly changing as entry-level engineers with AI skills are again in demand.

“Hiring is happening for entry-level engineers but skillsets have changed for the new hires. IT companies and GCCs (global capability centres) are looking for candidates with AI skills now as most projects have AI components now,” said an industry source.

People in the know also said that lower recruitment of freshers and entry-level engineers has depleted bench strength significantly in recent quarters.

“Bench strength has come down for most IT companies. Lower number of entry-level engineers is also distorting the employee pyramid for project execution. These factors are putting pressure on operating margin,” the industry source added.

Not only entry-level engineers, but fresher onboarding has also seen an uptick in the first quarter of the ongoing financial year.

TCS onboarded 14,000 freshers during the April-June quarter and its management has said that the company would hire around 25,000 freshers in the current financial year.

Similarly, Infosys hired 4,000 freshers from college campuses in the June quarter. The Bengaluru-headquartered firm plans to hire around 20,000 freshers in the ongoing financial year.

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