India's IT Hiring Landscape Shifts to Smaller Cities

NEW DELHI: In a significant shift, India's non-metro cities like Udaipur, Vizag, Coimbatore, and Nagpur have outpaced traditional tech hubs in hiring for core software and IT roles during the first half of 2025, according to staffing firms.

Growth Numbers Tell the Story

Data from Teamlease reveals that secondary and tertiary cities experienced over 50% growth in these recruitments during January-June, while primary cities, including Bengaluru and the National Capital Region, registered only 12-15% growth.

Why the Shift?

"In 2025, India's IT services sector is witnessing a significant hiring shift toward tier-II and tier-III cities," said Neeti Sharma, Teamlease Digital chief executive. This shift is attributed to enhanced digital infrastructure, supportive government policies, and the widespread adoption of flexible working arrangements.

Emerging Technologies Lead the Way

CIEL HR reports that Mysuru leads secondary cities in emerging technologies, including generative AI, representing 32% of recruitment in that domain. Jaipur maintains prominence in voice and non-voice positions, whilst Coimbatore shows balanced requirements across technical positions.

The Future Looks Bright

With hybrid work models and digital transformation deepening across industries, tier-2 and tier-3 cities are poised for sustained double-digit hiring growth, particularly in high-demand areas like AI, cloud, and cybersecurity.