Demand to Outstrip Supply by 29% in 2028, Threatening Growth and Competitiveness.

86
2
Demand to Outstrip Supply by 29% in 2028, Threatening Growth and Competitiveness.

India's Tech Sector Faces Talent Shortage

India's booming technology sector is facing a significant talent shortage, with estimates suggesting that the demand for skilled professionals will outstrip supply by 29% in 2028. This gap is expected to widen from the current 25%, posing a major challenge to the industry's growth and competitiveness.

The National Association of Software and Service Companies (Nasscom) estimates that over the next 2-3 years, India will require more than 1 million engineers with advanced skills in artificial intelligence (AI), big data analytics, and cybersecurity. This demand cannot be met without significant improvements in education and training across the country.

The current workforce also needs to be reskilled to adapt to the evolving technological landscape. Nasscom estimates that over half of the existing workforce will need to acquire new skills to remain relevant in the job market.

The skills gap is attributed to several factors, including an inadequate education system, a lack of practical training in colleges, and a mismatch between the skills taught and the actual requirements of the industry.

This talent shortage poses a serious threat to India's IT sector, which plays a crucial role in the economy, employing over 5.4 million people and contributing 7.5% to the country's GDP. Companies like Tata Consultancy Services (TCS) are struggling to fill positions, putting them at a disadvantage compared to global rivals.

To address this challenge, India needs to invest heavily in improving its education system, providing practical training opportunities, and aligning its curriculum with the industry's needs. Addressing the skills gap is crucial for India to maintain its position as a global leader in the technology sector and ensure its continued economic growth.