AI wave in IT sector has different layoff story
India's IT sector is seeing its biggest shakeup yet, as AI adoption leads to over 1.25 lakh layoffs between 2023 and 2025.
Unlike earlier tech waves, this time it's entry- and mid-level jobs—think manual testing or basic coding—that are being replaced by automation.
Companies like TCS are at the center of these changes.
How layoffs have grown with each tech revolution
Layoffs have grown with each tech revolution: the digital era (2000s-2010s) saw about 10,000-15,000 job cuts; the cloud phase (2012-2018) bumped that up to around 70,000.
But the current AI wave has left those numbers in the dust by automating routine work and ramping up demand for people skilled in AI/ML.
New jobs now focus on working with AI
AI is splitting the job market—routine roles are vanishing fast, while there's a surge in demand for specialists in AI/ML and data science.
In India's big tech hubs like Bangalore and Hyderabad, new jobs now focus on working with AI or tackling ethical questions around it—a sign of just how fast things are changing for anyone eyeing a future in tech.