IT Jobs: India’s tech sector is redefining its talent pipeline; NASSCOM experts explain how

Team Careers360 | September 10, 2025 | 07:42 PM IST | 4 mins read

NASSCOM analysts on why tech recruitment is no longer about the IT engineering degree, but skills, real-world experience and ability to keep learning

Neha Jain is a senior analyst and Vertika Misra is director - public policy, at NASSCOM

By Neha Jain & Vertika Misra

India’s technology sector has always been a magnet for young talent but the rules of hiring are being rewritten.

As digital transformation accelerates across industries and technologies like AI, cloud computing, and cybersecurity move to the core of business strategy, the traditional approach of hiring based on degrees and academic credentials is rapidly giving way to a skills-first model. For companies competing in a global digital economy, the question is no longer “Where did you study?” but “What can you do?”

IT Jobs and Startups: New hiring landscape

Though, traditionally Indian IT services have maintained their focus on fresher hiring, Global Capability Centers (GCCs) and tech startups are fast emerging as influential forces on campus. GCCs, offering global exposure and competitive salaries, are rapidly expanding their fresher hiring programmes to build their employee pyramid as they widen their footprint in the country. Startups, meanwhile, attract graduates with their fast-paced, innovation-driven environments where they can work on live projects from day one.

This trend is also democratising hiring. While premier institutions still hold weight, tier-II and tier-III colleges are now integral to tech talent recruitment strategies. Companies are casting a wider net to access untapped talent pools, making inclusivity a strategic priority in hiring.

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IT Careers: Rise of skills-based hiring

The most striking shift is the move towards demonstrable skills over paper qualifications. For tech employers, programming and coding proficiency, AI/ML analytics, cloud computing, and cybersecurity have now become the essential benchmarks for entry-level roles. Soft skills — problem-solving, teamwork and communication — have become just as critical, especially in client-facing and collaborative environments.

Hiring assessments are also reflecting this change. Scenario-based tests, hackathons, and gamified evaluations are replacing traditional aptitude tests, enabling recruiters to evaluate real-world problem-solving abilities. For companies, this approach reduces training overheads and ensures that freshers are ready to contribute from day one.

Curriculum Meets Code: Industry-integrated learning

To meet this demand, academic institutions are overhauling their curricula to include hands-on projects, emerging tech courses, and industry certifications. The tech industry is playing an active role by co-designing programmes, offering faculty training, and helping in embedding professional certifications or courses into degree pathways.

This deeper collaboration is crucial for tech employers, who need a workforce aligned with fast-changing technology stacks. Graduates with exposure to AI, data science, cloud platforms, and cybersecurity — validated by industry-recognised credentials — are now the most sought-after hires.

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Internships a hiring engine

Internships are no longer just a checkbox for students; they have become a strategic hiring tool. Many institutions have extended internships to six months or longer, aligning with companies’ need to evaluate talent in real-world scenarios.

For GCCs and startups, internships serve as a “try before you hire” model, allowing them to assess technical proficiency, coding ability, and cultural fit. Startups use internships to expose students to real product development cycles, while GCCs leverage them to build a ready pool of deployable talent. This approach is helping reduce onboarding time and ensuring a smoother transition from campus to corporate.

Entrepreneurship and gig talent

Interestingly, the tech hiring ecosystem is also being influenced by the rise of student entrepreneurship and gig work. Many graduates are opting to build startups or take on freelance roles in areas like app development, AI solutions, and cybersecurity consulting. For tech employers, this creates an opportunity to tap into self-driven, innovation-minded talent.

Institutions are responding by fostering startup incubators, offering flexible curricula, and providing exposure to real-world problem-solving — all of which cultivate exactly the kind of mindset the tech industry values.

For IT recruiters

These shifts highlight the industry’s emerging role in talent creation. Building partnerships with academic institutions, investing in faculty development, and embedding industry tools and certifications into curricula are no longer optional — they are essential for creating a future-ready workforce.

This focus on collaboration is becoming even more important in the current times as the hiring focus shifts from just filling roles to building capability pipelines amidst the ever-evolving technology landscape.

Also read Core engineering placements surge 25% with AL, ML minor degrees

IT Sector: The road ahead

The tech sector sits at the center of India’s ambition to be a global digital talent hub. But meeting that ambition requires academia and industry to function as true partners in talent creation. For employers, this means moving beyond transactional hiring to long-term ecosystem building.

The future of tech talent hiring in India will be defined by three pillars: skills over degree pedigree, practical experience over theoretical knowledge, and collaboration over silos. Companies and academia that embrace these shifts will not only secure or create the best talent but also help shape a workforce capable of driving the next wave of technological innovation.

For students entering the IT and tech job market, the message is equally clear: it’s no longer about the degree alone. It’s about demonstrable skills, real-world experience, and the agility to keep learning in a world where technology will not stand still.

Neha Jain is a senior analyst and Vertika Misra is director - public policy, at NASSCOM. This piece first appeared in the 200th issue of the Careers360 magazine, published in August 2025

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