Only 5.5% of the Indian engineers are qualified with basic programming skills: Report

According to a study conducted by staffing company TeamLease Digital, though India saw advancements in artificial intelligence (AI), machine learning (ML), blockchain tech, IoT, robotic process automation (RPA), edge computing, and quantum computing with essential tools like Python, R, TensorFlow, and PyTorch, only 2.5% of the country’s engineers possess AI skills, and merely 5.5% are qualified with basic programming abilities.

Thus, to meet the skills needs, 86% of Indian businesses are actively reskilling their IT workers, the study found. Some of the key functional areas in the Indian tech ecosystem, as identified by the study, are software development and engineering, cloud solutions and enterprise application management, project management and user experience, data management and analytics, cybersecurity and network development, and system operations and tech support services.

The study titled Skills & Salary Primer for FY 2025 found that by FY24 the Indian tech market size stood at $254 billion, with a 3.8% year-on-year growth and 5.6 million tech workforce.

Salary trend

According to the study, in GCCs, AI/ML engineer job functions have an approximate starting salary of Rs. 8.2 lakh per annum that can go up to Rs. 43 lakh per annum at senior levels with 8+ years of experience. Meanwhile, beginners in the IT products and services sector can ask for payment starting at Rs. 9.7 LPA, which may go up to Rs. 20.7 LPA with growing experience.

Entry-level data engineering roles have experienced a robust 12.07% year-on-year salary increase from FY24 to FY25. Product management professionals at the mid-level are looking at a substantial 10.2% rise in compensation, while senior roles in data science and DevOps have witnessed nearly 11% growth in salaries over the same period. These figures highlight the accelerating value of expertise in these critical areas as the industry continues to evolve.

According to the findings, metro cities Bengaluru, Gurgaon, Hyderabad, Delhi, Mumbai, and Chennai offer the highest salaries for tech job roles, while Jaipur, Indore, and Coimbatore are the upcoming hubs currently in an evolution phase. Given these are projected to be GCC and data centre hubs, the functions of data science, product management, and data engineering are seeing a demand growth, while cybersecurity and cloud computing are still in nascent stages.

Commenting on the findings, Neeti Sharma, CEO, TeamLease Digital, said, “The Indian tech industry is on track to reach $350 billion in revenue by 2025, with significant investments in AI, machine learning, and blockchain totalling over $9 billion in 2023 alone. This surge is fuelled by the rise of remote work and digital-first strategies, which have accelerated cloud computing adoption and are expected to propel the cloud market to grow at a CAGR of 22% over the next five years. Emerging technologies like 5G and IoT are set to further redefine India’s tech landscape, ensuring that the nation remains at the forefront of global technological advancements.”