IT Talent Revival: How India’s Tech Hiring Stabilized in H1 FY26 with a 25% Campus Boost

After a period of subdued activity, India’s IT sector has shown signs of hiring stabilization in the first half of FY 2025-26 (H1 FY26), driven by a marked improvement in campus recruitment and a rising need for specialized technical talent. HR solutions provider Adecco India highlights that major IT companies have resumed engagement with top engineering and technical institutes, leading to a 25% increase in fresher campus intake compared to H1 FY25.

The sector is experiencing a surge in demand for engineering, technical, and AI-related profiles, which have grown by 27%. Correspondingly, compensation levels have increased by 5%, underlining the competition for scarce talent in high-demand areas such as cloud computing, AI, data engineering, and cybersecurity.

Sanket Chengappa, Director and Business Head of Professional Staffing at Adecco India, stated that companies are adopting more strategic hiring practices by prioritizing the “train-then-hire” approach. This shift involves engaging with campuses earlier to ensure candidates’ academic readiness aligns closely with industry requirements, thereby reducing ramp-up time and enhancing fresher productivity.

Geographically, prominent tech hubs such as Bengaluru, Hyderabad, Pune, and the National Capital Region continue to lead in placements. Additionally, tier II cities like Coimbatore, Udaipur, Nagpur, Visakhapatnam, and Indore saw a 7% increase in IT hiring, signaling a broadening of recruitment beyond metropolitan centers.

Key Highlights:

Campus intake in India’s IT sector rose by 25% in H1 FY26 compared to H1 FY25.

Demand for engineering, technical, and AI profiles increased by 27%, driving up compensation by 5%.

Shift from “hire-and-train” to “train-then-hire” model improves fresher productivity and alignment with job roles.

Leading IT hubs (Bengaluru, Hyderabad, Pune, NCR) dominate recruitment; tier II cities report 7% growth.

Mid-to-senior level hiring sees 42% growth, especially in digital transformation and delivery leadership roles.

Hiring focus sharpens on cloud, data, AI, cybersecurity, and cross-functional domain expertise.

Overall IT hiring sentiment is cautiously optimistic with a focus on quality over scale.

Major Takeaway:
India’s IT sector is entering a phase of steady recovery with improved campus hiring and strategic talent engagement focused on skill depth and readiness. This measured approach reflects industry confidence and the critical need for specialized tech capabilities amid evolving digital transformation demands.

Sources: Adecco India, Moneycontrol, Financial Express, Economic Times, IANS.