foundit Insights Tracker: IT and Real Estate Sectors Propel a 15 Percent Surge in Annual Hiring Growth

foundit (formerly Monster APAC & ME), India’s leading jobs & talent platform, has released the latest edition of the foundit Insights Tracker (fit), presenting the hiring trends for August 2024.

According to the tracker, online hiring activity has shown a strong 15% annual growth (August 2023 vs August 2024), even as monthly hiring demand experienced a slight dip. The tracker indicates steady growth in pivotal employment sectors like IT, Manufacturing, Healthcare, and Media & Entertainment, underscoring a resilient and dynamic job market.

Offering some insights into the hiring overview for July 2024, Sekhar Garisa, CEO, foundit (previously Monster APAC & ME), a Quess company, said, "The recent surge in recruitment across sectors signals a period of economic recovery. We see significant job growth in Healthcare, Construction & Engineering, and Information Technology, indicating renewed confidence among employers. As businesses rethink their hiring needs, we are optimistic about more job openings in the coming months. The challenges of recent years have driven rapid technological changes, transforming how we work. To thrive, professionals need to not only adapt to these changes but also lead the way in driving them."

Sector-specific insights: IT, Real Estate, and Construction on an upward trajectory
IT-Software & Services sector continues to be a major force in hiring, with a notable 4% month-on-month increase and a 23% year-on-year rise. This sustained demand is largely fueled by digital transformation initiatives and technological advancements across industries, solidifying IT as a cornerstone of hiring growth.

Real Estate hiring, despite a slight 1% monthly dip, surged by 32% year-on-year, reflecting strong market demand. Construction & Engineering also performed well, with a 2% month-on-month increase and 31% annual growth, driven by ongoing infrastructure projects and urban development.

Construction, Engineering Hiring Trends Across Key Locations

Chennai (+11%) and Hyderabad (+5%) experienced significant hiring increases in Construction and Engineering roles, heavily driven by Real Estate growth

Function-specific trends: IT takes the lead as other roles face challenges

IT roles remain the leading driver of hiring growth, recording a 3% increase month-on-month and a 9% year-on-year rise. This growth reflects the essential role of IT in supporting digital initiatives and innovation across sectors.

Medical, Marketing & Communications roles despite a 2% monthly decline, witnessed an overall positive outlook, indicating shifting hiring dynamics and priorities. Nevertheless, Marketing & Communications maintained a 22% year-on-year increase, driven by the need for a strong digital presence. Expertise in performance analytics and AI-driven content strategies is in high demand. Meanwhile, Medical roles grew by 24% annually, highlighting the ongoing demand for healthcare professionals.

Sales and Customer Service roles continue to show a decline in hiring. Sales & Business Development saw a 3% monthly drop and a 10% year-on-year decline, while Customer Service roles fell by 1% month-on-month and 23% annually. The rise of automation and AI is likely driving these downward trends, prompting a shift in hiring focus.

Innovation and demand fuel demand for skilled IT talent
The IT industry continues to dominate India's job market, driven by rapid technological advancements and a growing demand for digital transformation.

Top Roles Driving IT Hiring

Software Development roles clearly top IT hiring, making up nearly half of all roles due to the ongoing emphasis on building robust digital infrastructures. The demand for Data Science & Analytics roles, at 17%, reflects the increasing reliance on data-driven insights. DevOps, Data Warehousing, and IT Consulting continue to play crucial roles, highlighting the need for operational efficiency, data management, and strategic IT planning.

Global Capability Centres: Catalyst for IT sector growth

Industry Breakdown of GCC Job Distribution (2021-2024)

Global Capability Centres (GCCs) have been pivotal in driving IT sector growth, currently accounting for 62% of IT-related employment. By harnessing advanced technologies and requiring specialised skills, GCCs are not only major job creators but also key drivers of innovation.

Since 2021, overall GCC job growth has been significant, with a compound annual growth rate (CAGR) of approximately 27.66%, increasing from 151,723 jobs in 2021 to 315,624 by August 2024. This surge underscores GCCs' expanding role in not only the IT sector but also in BFSI, Automotive, Retail, and Manufacturing industries,

IT Hiring Trends Across Key Locations

Bengaluru and Coimbatore have emerged as critical IT hiring hubs, with Bengaluru seeing a 5% month-on-month increase and 14% year-on-year growth, while Coimbatore experienced a 4% month-on-month rise. These cities are magnets for top tech talent, propelling the sector's expansion.

Regional trends: Tier-2 cities emerge as new growth areas

The foundit Insights Tracker reveals diverse hiring trends across regions. While metros like Bengaluru and Hyderabad remain strong, Tier-2 cities such as Coimbatore and Kochi are gaining traction, with Coimbatore showing a 4% month-on-month increase and establishing itself as a tech hub. Kochi's stable hiring activity highlights growing opportunities beyond major metros.

Conversely, some Tier-1 cities are experiencing dips. Ahmedabad reported a 4% month-on-month decline, and Chennai saw a slight 1% decrease, while Delhi-NCR remained flat. These declines indicate that, despite the rise of Tier-2 cities, some traditional urban centres face challenges in maintaining hiring momentum.