It should be noted that Salesforce dismissed about 1,000 employees in February of this year, while hiring new workers to sell their new AI products. | Photo credit: Freepik
Deferred salary increases and low head count in the IT sector can indicate the structural realignment of the sector due to AI and global developments such as the rate, they say analysts. Tata Consultancy Services (TCS), while announcing its results of the fourth quarter, the salary walks was differed, cited the “uncertain business environment” and reported a staff of only 625.
According to Sanchit Vir Gogia, chief analyst and CEO of Grayhound Research, global developments such as tariffs may have added pressure, but real history lies in the fragility of the margin and the changing expectations of the client.
“The large Indian companies face decreasing yields in the growth of the head head account as buyers require cost savings led by automation and shorter delivery cycles. The personal hiring figure 625 in TCS is not symbolic or sector atotorttestest towards less but higher roles of greater color.
AI impacting the labor sector
Referring to a Grayhound compensation perspective Pulse 2025-CIO, he said that 61 percent of business technological leaders worldwide are reassigning the budget of traditional IT delivery to automation and commercial results infused with AI. This change is forcing IT suppliers from TIE-1 Indians to reassess not only hiring volumes but also compensation strategies.
In addition, 74 percent of the CIO worldwide said they expect at least 25 percent savings for the adoption of AI in the maintenance of applications and the infrastructure support in Q4Fy25. For example, a European retail customer who works with a level 1 IT signature differs wages reviews due to a margin review in all service contracts administered by the application by the new CFO of the client.
“The review revealed a redundant effort in the handling of backend tickets, but could be automated using AI tools. The client renegotiated for a smaller equipment and performance link prices, which leads the supplier to delay salary margins and reduce, Gogin said.
Grayhound also discovered that 68 percent of business technological leaders are delaying contractual renovations specifically to take into account the delivery models led by AI in turn affect the provision of personnel, budgets and Abris cycles. In addition, the company of analysts reported that the CIO worldwide expect the AI year. Suppliers are now prioritizing reinvestment in the qualification of salary inflation, particularly in roles adjacent to the cloud, safety and engineering of AI.
According to Grayhound, press 2025, there is an annual increase of 21 percent in hiring by global capacity centers, while traditional IT vendors fell 38 percent.
Ai to change jobs will not remove them
However, in disagreement with this feeling, Arun Kumar Parameswaran, EVP Director and Manager – Sales and Distribution, Salesforce – South Asia, described such incidents a part of the technological change in the IT sector as the most of the agental partners.
“There is always skepticism with technological changes. Every time there is a change, the first reaction is that, oh, we will lose jobs. But any of the changes has changed, how we work with the opportunity to have opportunities not to take into account that AI will have that similar impact.
Taking the example of the encoders, Parameswaran said that AI will allow software developers to focus their time and attention on discovering how to encode something interesting.
“I am looking at every day of thesis students. They are not writing a single line of code. They are literally cutting and sticking from chatgpt and varositable tools, but they spend more time thinking about the code that Wille says deaf time,” Parameswaran said.
It should be noted that Salesforce dismissed about 1,000 employees in February of this year, while hiring new workers to sell their new AI products.
Seasonality of hiring
Meanwhile, another analyst, who talked about anonymity, said that the low count could be attributed to global developments such as rates. According to the analyst, since the majority of the company’s commercial relations with the US, the economic slowdown in the United States is also affecting the IT company. Another factor in the game is seasonality since the fourth quarter is historically lower in terms of addition and collection of employees compared to around Q2 or Q3.
Posted on April 15, 2025
