AI Reshapes India's Tech Jobs: Permanent Roles Shrink, Contract Hiring Soars to 75%

• India's tech job market is shifting from permanent to contractual hiring due to AI adoption, especially for new entrants.
• 60-75% of recruitment in AI-specific roles like data annotation and prompt engineering is now contract-based.
• Entry-level hiring has sharply declined, with freshers making up only 15% of IT hiring in 2025; "contract-to-hire" models are prevalent.
• AI pressure shrinks pay for routine tech jobs, while niche AI roles offer premium salaries, though experts predict future compression.
• Job opportunities are expanding beyond elite colleges, with skills and certifications becoming more crucial than traditional pedigree.

Why It Matters: AI is fundamentally transforming India's tech employment, prioritizing skills and flexible contracts over traditional permanent roles.