Active job openings in India’s technology sector fell 27 per cent year-on-year in October, according to specialist staffing firm Xpheno.
Xpheno said the sector’s share of India’s overall talent demand declined to 48 per cent in October, compared with a peak of 84 per cent in 2022. The firm reported that hiring activity has been sluggish over the past four months.
Kamal Karanth, co-founder of Xpheno, said the October outlook was in line with the decline that has persisted since the start of 2025. “Hiring action in India’s tech sector remains sluggish amid challenges with discretionary tech spending and sustained headwinds in IT,” Karanth said.
Demand in IT services dropped 24 per cent year-on-year, with 42,000 new openings in October, Xpheno reported. Openings in software product firms fell 22 per cent to 26,000.
Funded technology start-ups recorded a 13 per cent increase, with 17,000 new positions. Global Capability Centres (GCCs) registered a 2 per cent increase with 11,000 openings and now account for around 10 per cent of overall technology demand.
Karanth said the decline in the IT services segment was significant and added that recent developments in the US market were expected to influence demand further.
By seniority, mid-junior roles posted the steepest year-on-year decline at 28 per cent, Xpheno said. Entry-level openings fell 19 per cent, and mid-senior roles decreased 10 per cent.
The firm reported that core technology and engineering functions accounted for 57 per cent of active demand. However, demand for these roles fell 25 per cent compared with a year earlier.
Other functions such as project management also recorded declines, while consulting and advisory roles grew 18 per cent.
Hiring across India’s largest urban centres contracted, Xpheno reported. Delhi, Mumbai and Bengaluru posted the steepest declines, contributing to a combined 29 per cent year-on-year fall in job openings across metro areas.
In contrast, tier-2 and tier-3 locations saw improvement, with 24,000 openings. These centres posted a 41 per cent month-on-month increase and a 2 per cent year-on-year rise.