BR100 Increased By (0.52%)
BR30 Increased By (0.44%)
KSE100 Increased By (0.46%)
KSE30 Increased By (0.58%)
BECO 5.67 Decreased By ▼ -0.06 (-1.05%)
BML 57.05 Decreased By ▼ -0.25 (-0.44%)
BOP 36.85 Increased By ▲ 0.08 (0.22%)
CNERGY 8.32 Decreased By ▼ -0.07 (-0.83%)
DCL 11.90 Decreased By ▼ -0.14 (-1.16%)
FCCL 58.66 Increased By ▲ 0.05 (0.09%)
FCSC 5.09 Increased By ▲ 0.08 (1.6%)
FFL 18.12 Increased By ▲ 0.18 (1%)
FNEL 1.26 No Change ▼ 0.00 (0%)
HUMNL 11.28 Decreased By ▼ -0.14 (-1.23%)
KEL 8.24 Decreased By ▼ -0.05 (-0.6%)
KOSM 6.54 Decreased By ▼ -0.08 (-1.21%)
MLCF 107.17 Decreased By ▼ -1.12 (-1.03%)
NBP 208.80 Increased By ▲ 2.76 (1.34%)
PACE 11.18 Increased By ▲ 0.01 (0.09%)
PAEL 45.39 Increased By ▲ 0.04 (0.09%)
PIAHCLA 30.31 Decreased By ▼ -0.46 (-1.49%)
PIBTL 18.87 Decreased By ▼ -0.19 (-1%)
PPL 248.71 Increased By ▲ 2.76 (1.12%)
PRL 36.29 Increased By ▲ 0.21 (0.58%)
PTC 74.01 Increased By ▲ 1.65 (2.28%)
SEARL 96.13 Decreased By ▼ -0.54 (-0.56%)
SSGC 31.37 Decreased By ▼ -0.30 (-0.95%)
TELE 9.21 Decreased By ▼ -0.06 (-0.65%)
THCCL 68.04 Increased By ▲ 0.23 (0.34%)
TPLP 11.64 Increased By ▲ 0.41 (3.65%)
TREET 25.72 Decreased By ▼ -0.17 (-0.66%)
TRG 67.62 Decreased By ▼ -0.22 (-0.32%)
WAVES 11.25 Increased By ▲ 0.27 (2.46%)
WTL 1.28 No Change ▼ 0.00 (0%)
Business & Finance

India hiring tilts toward contracts as AI prompts workforce rethink, TeamLease says

  • Firms across sectors are slowing hiring and reassessing headcount needs as they experiment with AI-led automation
Published Updated
By

Indian companies are increasingly turning to contract and outsourced hiring as AI related uncertainty has firms rethinking their workforce planning, a top executive at staffing firm TeamLease Services said on Thursday.

Firms across sectors are slowing hiring and reassessing headcount needs as they experiment with AI-led automation, even as India remains a key global hiring market for multinational companies and global capability centres, Chief Financial Officer Ramani Dathi told Reuters in an interview.

“Firms that cut staff (numbers) by 50% after adopting AI tools were coming back within months saying they still needed people to manage them,” Dathi said, adding that the company was advising clients to keep 20%-30% of their workforce on outsourced or variable models.

The comments highlight a broader shift in hiring, with companies pivoting to flexible staffing and AI-led workforce realignments even as demand grows for specialised tech talent and GCCs expand beyond IT roles.

A report by job search portal Indeed and IT industry body Nasscom released on Thursday found nearly all organisations expect their 2026 workforce strategy to centre on AI-related or AI-supported roles, while 40% expect a major workforce rejig.

Teamlease, which manages more than 340,000 associates and trainees, said it is currently able to fill only about 30% of open positions from clients because of mismatches on salary expectations, location preferences and required skills.

Nearly one-third of TeamLease’s GCC workforce are now in non-IT roles, Dathi said.

The company is also seeing rising demand for cybersecurity professionals with AI specialization, with firms willing to pay 30%-40% salary premiums for such talent, she added.

The trend mirrors broader industry demand, with the Indeed-Nasscom report showing nearly two thirds of employers across industries had increased hiring for AI-related roles over the past year, led by sectors such as banking, finance services, insurance and telecommunications.

Comments

200 characters remaining