AI Is Changing Hiring In India—You Won't Believe How Many Jobs Could Disappear!

As the landscape of employment continues to evolve, a recent study highlights a significant shift in hiring practices within India's information technology sector. Conducted by the Indian Council for Research on International Economic Relations (Icrier) and supported by OpenAI, the study reveals that a notable 63 percent of Indian companies are seeing an increased demand for candidates equipped with a “hybrid” skill set—essentially a combination of domain expertise and AI skills.

The survey, which took place between November 2025 and January 2026, gathered insights from 650 IT firms across 10 major Indian cities. The findings indicate that roles typically considered vulnerable to automation, such as software developers and database administrators, are paradoxically witnessing some of the strongest growth in demand. This suggests that while artificial intelligence is reshaping the industry, it is serving more as a complement to technical work rather than a complete replacement.

Interestingly, while the study points to a “modest moderation” in entry-level hiring, it also highlights that the firms reporting productivity gains outnumber those experiencing declines by a factor of 3.5 to 1. This suggests that the integration of AI tools may be enhancing output rather than diminishing the need for human expertise.

The report highlights several key trends in the labor market:

• AI is acting as a complement to technical work rather than a wholesale substitute.
• Firms reporting productivity increases significantly outnumber those reporting decreases.
• Occupations with the highest exposure to Generative AI, such as software developers, are also seeing the highest growth in demand.

This shift toward hybrid skill sets underscores a broader trend in the global labor market, where the integration of advanced technologies is reshaping not just who gets hired, but what skills are deemed essential. Companies are increasingly seeking individuals who can navigate both the technical aspects of their roles and the intricacies of AI technology.

The implications for job seekers are profound. As companies recalibrate their hiring criteria, candidates with a strong understanding of AI and its applications in their specific domains may find themselves at a significant advantage in the job market. This trend also poses questions for educational institutions and training programs, which may need to adapt their curricula to better prepare students for the evolving demands of the workforce.

Moreover, the findings from Icrier and OpenAI will be crucial for U.S. firms and policymakers as they look to understand the global shift towards AI in employment. As more companies recognize the need for hybrid skill sets, U.S. businesses will also likely face similar challenges and opportunities. This could pave the way for new training programs focused on enhancing both technical proficiencies and AI literacy among American workers.

In summary, the Indian IT sector is experiencing a dynamic transformation fueled by the adoption of artificial intelligence. The call for hybrid skill sets reflects not just a demand for versatility but a recognition of AI as a powerful ally in enhancing productivity and innovation. As these trends unfold, job seekers, educators, and employers alike will need to remain adaptable to thrive in an increasingly AI-driven landscape.