India tech hiring demand drops 24% YoY at the start of 2026: Xpheno report

A slower start for tech recruitment

India’s tech job market has begun 2026 on a subdued note, with active openings falling sharply compared to last year. According to a January 2026 report by specialist staffing firm Xpheno, active tech job demand is down 24% year-on-year to roughly 103,000 roles, indicating a sustained cooling after a prolonged slowdown through 2025.

The report also points to a marginal month-on-month slip, suggesting that the hiring environment has not meaningfully recovered as the new year begins. For job seekers, the immediate implication is tougher competition for roles, longer recruitment cycles and more scrutiny on specialised skills.

How far demand has fallen from the peak

Xpheno’s data highlights how dramatically demand has cooled since the boom years. The report says current demand is nearly 60% lower than the early-2022 peak, when the market saw more than 260,000 active openings, and tech hiring was a major driver of overall job creation.

This shift reflects broader recalibration across technology companies as they balance costs, focus on profitability and slow expansion plans. Many firms have become more selective, preferring specific, project-ready capabilities over broad-based hiring.

Where hiring is holding up—and where it isn’t

The report indicates that while entry-level roles have seen a small uptick, mid-senior and senior openings have declined, pointing to constrained leadership-level and specialist hiring. This pattern often emerges when companies prioritise fresh talent for defined tasks while limiting higher-cost positions.

For candidates, the near-term strategy becomes clearer: sharpen role-specific skills, build demonstrable project work, and widen the set of industries hiring for tech capabilities, including non-tech sectors that continue digitisation.