AI and analytics lead 2024 job demand, Nasscom-Indeed report finds

The rapid evolution of artificial intelligence and machine learning continues to reshape India’s technology job market, with significant implications for workforce dynamics and hiring practices.

Key job market trends: The 2024 Future of Work report by Indeed and Nasscom reveals a substantial 1.6x increase in demand for AI-related positions, with cybersecurity emerging as the second most sought-after domain.

• Data Scientists/Analysts and AI/ML Experts top the list of most in-demand tech roles, followed by Cybersecurity Specialists, Cloud Architects/Engineers, and DevOps Engineers
• The cybersecurity field has overtaken cloud computing in terms of job demand
• These trends reflect the growing integration of AI across organizational functions

Workplace evolution: The hybrid work model remains dominant while showing signs of adapting to changing organizational needs.

• Office attendance has increased by 1.2x, driven by demands for stronger cultural connections and enhanced cross-team collaboration
• Companies are prioritizing improved employee engagement and leadership interactions through in-person work
• Role-specific requirements and customer-driven needs also influence the return to office trend

Generative AI adoption: The integration of AI tools in the workplace has reached a significant milestone, moving beyond experimental phases to practical applications.

• Approximately 55% of workers regularly use generative AI tools, with ChatGPT and CoPilot being the most popular
• These tools are being utilized for diverse purposes, including coding, programming, and content creation
• The current and future workforce particularly leverage AI for learning, development, and communication skills enhancement

Workforce transformation: The technology sector is experiencing notable shifts in employment preferences and demographic composition.

• Gen Z and millennials constitute the majority of the tech workforce
• About 35% of current and future workers are open to gig work opportunities, up from 23% and 28% respectively in the previous year
• This increase in gig work interest represents a significant shift in traditional employment models

HR technology integration: Human resources departments are embracing AI-powered solutions across their operations.

• Companies are implementing AI for various recruitment functions, including automated CV screening
• The technology is being used to create gender-neutral job descriptions and streamline candidate evaluation
• AI, analytics, and cloud technologies are described as the “holy trinity” driving HR transformation

Future implications: The increasing integration of AI across organizational functions suggests a continued evolution of workforce dynamics and skill requirements.

• Organizations must address the gap between current workforce capabilities and future demands
• The combination of human creativity with AI-driven innovation will be crucial for business success
• The trend toward AI adoption and hybrid work models indicates a permanent shift in how companies operate and manage talent