IT Hiring Slows in July, But AI Roles and Non-Tech Sectors Show Strong Momentum

India's IT sector saw a marginal 1% year-on-year dip in hiring activity in July, according to Naukri's latest JobSpeak report, reflecting a slowdown from the 5% growth recorded in June.

Despite the broader decline, demand for roles in artificial intelligence (AI) and machine learning (ML) remained robust, with hiring holding steady at 41% - consistent with June's numbers.

The Global Capability Centre (GCC) segment also moderated, registering a 5% increase in July, down from 11% the previous month.

Overall, white-collar hiring rose 7% year-on-year in July, largely driven by non-IT industries, although this was a slowdown from the 11% growth seen in June. Hospitality led the surge with a 26% jump, followed by insurance at 22%.

Fresh graduate hiring climbed over 8%, propelled by sectors such as education, oil & gas, and real estate. South Indian cities saw notable spikes, with Coimbatore and Kochi reporting 17% and 15% growth respectively.

Hiring in the senior experience bracket (16+ years) grew by 13%, slightly lower than June's 15%, with key demand coming from BPO, ITES, pharma, and biotech sectors.

"Non-IT sectors have been showing solid hiring momentum for a while now, especially when it comes to fresher roles," said Pawan Goyal, Chief Business Officer at Naukri. "It's encouraging to see this consistent demand from industries like Hospitality, Insurance, and Education."