By Career Varta Desk | October 4, 2025
Despite funding slowdowns and global economic headwinds, India’s startup ecosystem continues to display remarkable resilience in 2025. According to recent industry estimates, startups across sectors are projected to add nearly 1.7 lakh new jobs during the current financial year, driven by growth in technology, fintech, and e-commerce domains.
Startups Betting on Expansion
Reports suggest that while global tech giants are tightening budgets, Indian startups are ramping up recruitment to strengthen product development and digital operations.
Companies in emerging sectors like AI, SaaS, healthtech, and sustainability-focused tech are leading this surge, with hiring focused on engineers, data scientists, and digital marketers.
“Startups are focusing on sustainable growth rather than rapid scaling. They are hiring strategically — looking for multi-skilled professionals who can wear multiple hats,” said an HR analyst at TeamLease Digital.
Tier-II Cities Emerging as Hiring Hotspots
A significant portion of this hiring is expected to come from Tier-II and Tier-III cities such as Pune, Indore, Nagpur, and Coimbatore. Startups are leveraging remote work models and affordable infrastructure to expand beyond traditional tech hubs like Bengaluru and Hyderabad.
“The decentralization of the startup ecosystem is creating exciting opportunities for talent in smaller cities,” said a NASSCOM Startup Hub representative.
Skills Driving the Demand
The most sought-after skills include Artificial Intelligence (AI), Machine Learning (ML), Cloud Computing, UI/UX Design, and Digital Marketing.
Startups are also placing higher emphasis on soft skills such as adaptability, communication, and collaboration — crucial for fast-paced, innovation-driven environments.
Challenges Remain
Despite the optimism, challenges such as funding constraints, attrition, and talent mismatch persist. Venture capital inflows have slowed compared to 2021–22 highs, prompting startups to adopt leaner, more efficient operations.
Industry leaders, however, remain confident that India’s young, tech-savvy workforce will continue to fuel startup growth.
A Positive Outlook
With over 1.2 million active employees in the startup ecosystem and continued government support through initiatives like Startup India and Digital India, the sector is set to remain a key employment generator in the coming years.
Experts predict that as global confidence returns and technology innovation accelerates, India’s startups could soon account for over 10% of new IT jobs created annually.
Disclaimer:
Information in this article is sourced from recent reports by The Economic Times, NASSCOM, and TeamLease Digital. Readers are advised to verify official hiring information through company career pages or https://startupindia.gov.in
