India Faces Acute Shortage of Engineers in Advanced Tech
India’s technology industry is facing a critical demand for over 1 million engineers with skills in artificial intelligence (AI) and other advanced capabilities within the next 2-3 years, according to industry estimates. To address this need, the government must significantly enhance education and training programs, reports Bloomberg.
Sangeeta Gupta, Chief Strategy Officer of the National Association of Software and Service Companies (NASSCOM), highlights that over half of the current technology workforce will need to undergo reskilling for roles in AI, big data analytics, and cybersecurity. Despite this, college graduates are only expected to fill a quarter of the high-demand positions.
Gupta emphasizes that “employability of the workforce is a major challenge.” She notes that continuous upskilling is crucial in the rapidly evolving digital landscape.
India’s technology sector, valued at $250 billion, is a significant economic driver, employing over 5.4 million people. Technology services contribute about 7.5% to India’s GDP, which exceeds $3 trillion.
Companies like Tata Consultancy Services (TCS) are facing talent shortages due to a significant skills gap. TCS recently revealed difficulty filling 80,000 positions, prompting it to double the number of AI-trained employees last year. Larsen & Toubro, India’s largest engineering and construction firm, reported a shortage of 20,000 engineers in its IT division as of June.
Gupta attributes the skills deficit to deficiencies in India’s education system. Colleges often fail to provide students with practical skills relevant to the job market, she explains. NASSCOM estimates that the demand-supply gap for digital talent is projected to widen to 29% by 2028, from the current 25%.