35,000 Tech Jobs at Risk in 2026

India's IT services industry, valued at over $315 billion, is undergoing a significant transformation. The sector is expected to eliminate around 35,000 tech jobs in 2026.

This development is a result of companies rationalising their workforce, which was built up during the pandemic hiring surge. Over the past three years, the industry has grappled with weaker business conditions, prompting a restructuring phase.

The latest trend reflects a new phase in the restructuring of India's IT services industry. Companies are adapting to changing business conditions and the increasing adoption of artificial intelligence.

The IT sector has been a significant contributor to India's economy, and this shift is expected to have far-reaching implications. However, the exact impact on the industry and the workforce remains to be seen.

The restructuring is a result of the pandemic-driven hiring surge, which has been followed by a period of weaker business conditions. Companies are now looking to optimise their workforce and adapt to the new reality.