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Why Automation Won’t Slash Tech Jobs

Industry News, Job seekers, Recruitment

The impact of automation on employment has been debated for years. Many fear it, many love embracing it. So, when reports of job cuts due to automation hit the IT industry this year, it instilled fear among the masses. Luckily, Nasscom was quick to refute the claims and make known that the IT industry is hiring now more than ever, and will continue to grow. So why won’t automation make you, as a techie, lose your job? Here’s the breakdown.

The Claim

A quick memory jog. The report claimed that the IT industry was set to put 3 million people out of work due to Robotic Process Automation (RPA). This would save them billions in return.

The Ground Reality

RPAs have been helping businesses across the globe keep up with the demands of the pandemic. It has made mundane tasks easier to handle and helped on the customer service front. This does not mean that it will leave a tech expert redundant. Thanks to automated processes, people have more time at hand to handle pressing tasks and upskill themselves. After all, that is the whole point of technology!

So, right now, the IT industry is booming. With more companies shifting to digitized work methods and relying heavily on applications, the demand for tech graduates continues to rise. 2020 saw companies like Capgemini and HCL seek out 15,000 freshers each. This year, HCL has increased its fresher intake to 22,000.

The industry has reached a point where employees are setting the rules for negotiation and making their demands. According to many industry experts, the current hike rate for retaining an employee is 25%. This is a drastic increase from the 10-12% recorded pre-pandemic. And for hiring experienced professionals, companies have rolled out hikes of 40%, compared to the pre-pandemic’s 25%.

Recruiting firms, including ours, have noted IT employees holding multiple job offers and using them to negotiate for better ones. So while the fear-mongering of automation keeps popping up in the news, the ground reality sees an all-time high in demand for IT jobs in 2021.

The Role of Automation in the IT Industry

Now, for those sitting back with a sigh of relief, the topic does not end here. As more processes and systems are automated, different skill requirements take precedence over old ones. The main reason there is focus on automation is because it can increase productivity and save time.

Yes, it can replace certain job roles, but it comes with the creation of more roles elsewhere. Because as much as automation can help, it lacks the cognition, industry expertise and social touch that people can contribute.
The key, here, is to remain in the loop and at the top of the list by upskilling. In the IT industry, this is what holds value.

What Skills Must You Have?

The top IT jobs in demand for the future call for skills in Project Management, Cybersecurity, Containerization, Cloud Computing and more. Tech companies want quality over quantity. They are looking for candidates who are open to learning and improving and have the ability to deal with all stakeholders. So keep sharpening your knowledge-base and social skills!

Our clients at Arnold Consulting are some of the leaders of innovation in the IT industry and are looking for tech professionals across the board. Reach out to us at or contact our recruiters on LinkedIn if you are looking for exciting opportunities to advance your career.