India's IT industry peak body has forecast 50,000 less jobs in the coming financial year, despite continued growth for the industry.
The Hindu reported Thursday the National Association of Software and Services companies (Nasscom) has predicted that 130,000 jobs will be created in the current financial year, commencing April 1. This is almost 30 percent less than the 180,000 jobs created in FY2013.
According to the report, Nasscom president Som Mittal explained the drop was due to a backlog the previous year, which was filled by the large-scale recruitment drive.
He also said the attrition rate has dropped to between 13 and 15 percent, however, this was still on the "high side".
In FY2013, the Indian IT industry generated $108 billion revenue, with exports ($76 billion) two times more valuable than the domestic sector ($32 billion). Nasscom projected the industry would grow by 14 percent.
"We will probably add $13 billion to $15 billion new business in domestic as well as exports," The Hindu quoted Mittal.