Nasscom, India’s apex body for the technology industry, has issued a cautionary note about potential layoffs and workforce rationalisation as the sector undergoes a significant shift in required skillsets. The statement comes in the wake of TCS’s layoff of 12,000 employees.
According to Nasscom, the tech industry is at a pivotal inflection point, with AI and automation moving to the core of business operations. “Over the next several months, we anticipate transitions as organisations pivot toward product-aligned delivery models—driven by rising client expectations around agility, innovation, and speed. This shift is likely to reshape traditional service delivery frameworks,” the body stated.
Despite short-term disruptions, Nasscom remains optimistic about the long-term role of technology as a catalyst for growth. “Every wave of disruption brings new roles, new value chains, and new opportunities. As industries evolve, continuous skilling, upskilling, and cross-skilling will be critical to building future-ready, resilient workforces.”
Nasscom acknowledged industry efforts to prioritise skilling, noting that as of Q4FY25, over 1.5 million professionals have been trained in AI and GenAI skills. Of these, more than 95,000 employees in leading listed firms have undergone advanced AI skilling across AI-native cloud, embedded AI, and applied intelligence certifications.
Looking ahead, Nasscom anticipates a shift in hiring trends toward deeper, specialised expertise. It emphasised that there is no one-size-fits-all approach—each organisation will chart its own course based on strategic priorities.
To bridge the growing skill gap, Nasscom called for stronger collaboration among industry, academia, and government. It urged all stakeholders to embed talent development as a core national and business priority to sustain India’s leadership in the AI era.