IT to create 1 lakh jobs in FY19, misses FY18 target

Hyderabad: The IT sector is projected to add one lakh jobs in the upcoming fiscal year 2018-19, a flat growth compared to last fiscal, said industry body Nasscom.

“Net employee addition has been nearly 1 lakh in 2017-18, which is lesser than the earlier projection of 1.5 lakh jobs,” it said adding that more technology jobs are moving to non-tech sectors like banking, healthcare, etc.

Nasscom on Tuesday projected a growth rate of 7-9 per cent for the IT and BPO sectors for fiscal 2018-19 as against 7.8 per cent in 2017-18.

Speaking on the sidelines of WCIT 2018, Nass-com president R. Chandr-ashekar said “Even thou-gh there are 39 days left for current financial year to conclude, we expect to wind up with $167 billion revenues excluding the e-commerce sector.”

 With 24 per cent exports from the IT industry, it is the largest export sector for the country.

Even though the year commenced on a low-key note, the second half of the year is expected help the sector to clock $167 billion revenue, representing a growth of 7.8 per cent for export revenues and 10 per cent for domestic revenues.

Nasscom expects that the future of the industry will lie in digital at scale as global digital spending is growing at 20 per cent annually. India’s digital revenues grew at 30 per cent in fiscal year 2018.

The industry is expanding its digital footprint with growth of 7-9 per cent for technology services, 10-12 per cent for domestic technology and New age digital to grow 1.5-2X of industry growth.

Mr. Chandrashekar said, “There is still some turbulence and it is not clear how some of the known uncertainties will play out. Challenges like the changes in immigration and impact of tax reforms in the United States will certainly influence the positive sentiment. Headwinds are still there and some of the uncertainties remain but the overall industry continues to grow demonstrating its ability to overcome challenges.”