Thursday, 17 April, 2025

Tariff War Triggers 20% Drop in IT Hiring as Indian Firms Freeze Recruitment

Indian IT companies have significantly reduced hiring in Q4 FY25, with talent demand dropping nearly 20% compared to the previous quarter. The ongoing U.S.-China tariff war has introduced economic uncertainties, prompting firms to adopt a cautious approach. IT services and Global Capability Centers (GCCs) are halting new hires and may not replace departing employees, potentially leading to organic headcount reductions. Active demand in IT services fell from 80,000 in February to 55,000.