Jobs are drying up in IT and BPO, says AICTE chief

Thursday, June 21st, 2018

In today's already turbulent job market, India’s premier technical education body, the All India Council for Technical Education (AICTE) has sounded off the alarm for Engineering and MBA students. The AICTE chief says that there is a dearth of jobs in the IT and BPO sectors.

AICTE head sees a grave future for Engineering and MBA students on the job front. The effects of automation and low retention of foreign clients have highly affected job creation in India. Considering the state of large MNCs, AICTE head believes that small and medium enterprises are the only hope for these students.

Anil Sahasrabudhe, Chairman of All India Council for Technical Education (AICTE) said, “Days for big recruitment sectors such as IT and BPO industry are over and there would be no mass hiring industries in India in the near future.” AICTE head was speaking to a TV channel in an interview.

AICTE’s survey registered 32% decline in job offers by companies in IT sector and 30% drop in offers by BPO sector. These jobs will now generate outside the main sectors such as ancillary and startups. AICTE chief has also cautioned those pursuing education in the pharma sector.

Referring to the recent surge in education in the pharma sector, Sahasrabudhe said, “education in pharma is just a bubble that may burst in the next two years like MBA and B-tech courses. Since almost all the seats in pharma were getting filled, people thought that there is a big demand in that sector and therefore they applied for more colleges this year. However, these will also have the same fate as management and engineering in the next one or two years.”


More than 50% of MBA graduates did not find any employment in 2016-17. AICTE’s data suggests that students are no-longer finding revenant jobs through campus placements. Those that get hired are outside of campus interview round. A study by Aspiring Minds, the employability assessment company claims that 95% of engineers in India are not fit for jobs.

Even the industry experts have warned about unskilled Indian youth. Tech Mahindra’s MD, CP Gurnani recently said that 94% of engineering graduates are not fit for jobs. The fresh graduates need to acquire in-demand skills to find suitable jobs in today’s tough economy.


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