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City Watch: Exploring the Employment Growth in Hyderabad in 2025

  • By: India Employer Forum
  • Date: 03 February 2025

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Hyderabad, often referred to as the “HITEC City,” is rapidly emerging as a dynamic hub for employment across various industries. While the city has long been known for its robust IT sector, it is now experiencing significant employment growth in the Pharma and BFSI sectors as well. This transformation is largely driven by both national and international investments. Additionally, Hyderabad presents an attractive destination for Global Capability Centers (GCCs) to set up operations, owing to its abundant resources. The Telangana government further supports this growth through lucrative initiatives such as the TS-iPASS certification and the establishment of a dedicated medical device park.

This widespread employment expansion is being powered by cutting-edge technologies, including Artificial Intelligence (AI), Machine Learning (ML), cybersecurity, and data analytics. To fully capitalize on the growing opportunities, both current and future workforce must acquire skills in these advanced technologies. By doing so, they can contribute to business growth while also fostering their own career development. This article explores the key sectors driving job growth, highlights the most in-demand skills, and outlines educational prospects, offering a comprehensive overview of Hyderabad’s employment landscape.

Employment Growth of Hyderabad 2025: An Overview

As per the India Employment Report 2024, Telangana ranks third among Indian states for employment and job growth, with Hyderabad emerging as the primary hub. The city is projected to experience an 8% growth in job opportunities in 2025, following Bengaluru (10%) and Coimbatore (9%). This robust growth is largely fueled by sectors such as IT, Life Sciences & Pharma, BFSI, and more. The Telangana government continues to implement progressive reforms to foster the expansion of new businesses and enhance the employability of the workforce and fresh graduates. The recruitment landscape is expected to shift in favour of candidates possessing domain-specific knowledge and technological expertise.

Employment Growth by Sector in Hyderabad

Information & Technology (IT)

The Information Technology sector in Hyderabad is experiencing significant growth. According to a report by Indeed, IT job postings in the city surged by 41.5% between April 2023 and April 2024, surpassing the 24% increase in job postings in Bengaluru during the same period. This growth underscores Hyderabad’s rising prominence as a preferred IT hub for professionals and tech companies. Furthermore, IT exports from the city reached approximately INR 2.41 Lakh Crore in FY 2022-23, positioning it as the second-largest IT exporter in India.

This substantial growth is largely attributed to significant investments in infrastructure from global tech giants and the favourable business environment created by the Telangana government. For instance, Microsoft has committed to investing around US $3bn over two years in India in cloud and AI infrastructure to accelerate the adoption of AI and innovation. Similarly, Amazon Web Services plans to invest US$ 8.3 billion in cloud infrastructure in Maharashtra by 2030 to expand its services. The Telangana government has also introduced various policies aimed at improving the ease of doing business, which stimulated foreign investments. The TS-iPASS initiative, for example, streamlines project approvals, potentially accelerating IT investments and fostering continued growth in the sector.

Pharma and Healthcare

Hyderabad, often referred to as the “Bulk Medicine Capital of India,” contributes to approximately 40% of the country’s drug production. The Telangana government’s establishment of a 302-acre medical device park has attracted around 50 companies, creating nearly 7,000 direct job opportunities. Additionally, Hyderabad Pharma City, recognized as a National Investment and Manufacturing Zone (NIMZ), is expected to employ over 560,000 professionals and attract investments totalling USD 9.7 billion in the coming years.

The integration of artificial intelligence into healthcare operations is expected to optimize processes and create a wide array of new job roles. Furthermore, the growing popularity of telemedicine in Indian healthcare is anticipated to drive demand for increased production and investments in the pharma industry. 

The Indian healthcare market, valued at US$ 126.9 Million in 2023, is projected to grow at a compound annual growth rate (CAGR) of 10.30%, reaching US$ 307.8 Million by 2032, strongly supported by Hyderabad’s evolving healthcare and pharma sectors.

BFSI

According to a report by CareerNet, Hyderabad is the second most preferred destination for multinational corporations (MNCs) to establish BFSI Global Capability Centers (GCCs), following Bengaluru.

The BFSI sector as a whole is experiencing significant growth, with job demand increasing by 30%, extending to tier 2 and tier 3 cities. This expansion is fueled by substantial investments from both domestic and international organizations. The growing demand for fintech solutions has created new, specialized roles in areas such as data analytics, cybersecurity, and digital banking solutions. In response, companies are actively recruiting professionals for these positions and investing in upskilling programs to enhance business growth while fostering career development for individuals.

Skills in Demand

In today’s job market, employers are increasingly seeking candidates with domain-specific knowledge combined with technological expertise. There is a particularly high demand for specialists in areas such as AI and ML (who can drive automation and data-driven decision-making), cybersecurity (to protect digital assets), data analytics (to analyze large datasets for informed decision-making), and cloud engineering (to efficiently manage data in the cloud). These roles are especially sought after across industries such as IT, BFSI, healthcare, e-commerce, and more.

The need for Upskilling and Reskilling

Technological disruptions have led to skill gaps across various sectors, including manufacturing and healthcare. According to the World Economic Forum report 2025, the macrotrend-driven creation of new jobs is estimated at around 170 million, equivalent to 14% of today’s total employment. This growth is expected to be offset by the displacement of 92 million current jobs, or 8% of total employment, resulting in a net growth of 78 million jobs (7% of today’s total employment) by 2030. This highlights the critical need for employees, especially freshers, to continuously upskill in emerging technologies relevant to their domain, either through online courses or hands-on projects. Such upskilling not only helps individuals advance in their careers but also leads them to higher positions and increased salary packages.

Employers, too, must prioritise investments in the upskilling of their workforce. These efforts can empower employees to explore new innovations and strategies, ultimately driving business growth while supporting their own career progression. Additionally, upskilling initiatives can bridge the gap for talent from remote areas, enabling them to harness their potential within their respective fields. According to the World Economic Forum, investment in upskilling could boost India’s economy by $570 billion by adding 2.3 million jobs by 2030.

Workforce dynamics of Hyderabad

According to a report by Xpheno, approximately 21 Lakh job seekers from across India have shown interest in working in Telangana, with Hyderabad as the primary destination. The city’s employment landscape is flourishing, driven by the booming IT industry and the expansion of Global Capability Centers (GCCs). The tech sector alone makes up around 35% of Telangana’s white-collar workforce. 

The India Employment Report 2024 reveals that Telangana has a migration rate of 25.2%, with 56.2% of male migrants moving for employment opportunities. While the overall migration rate is relatively low, the rate of migration for employment is strong and is expected to rise in the future. Recent hiring trends in Hyderabad also indicate that 45% of job seekers are between 22-25 years & 29-35 years old and 20% are in the 18-21 age group, reflecting the expanding appeal of Hyderabad as a key employment hub for young talent.

Education Prospects Driving Employment

  • Prominent Educational Institutions: Hyderabad is home to several prestigious educational institutions, including Osmania University, the Indian School of Business, the University of Hyderabad, IIT Hyderabad, and NALSAR University of Law. This creates an array of opportunities for students to pursue a wide range of degree programs across various disciplines.
  • Excellent Employment Opportunities: In addition to top-tier educational institutions, students in Hyderabad have access to excellent employment opportunities, particularly with renowned multinational companies (MNCs), especially within the IT and Pharma sectors.
  • Government Support: The Telangana government is actively working to enhance the educational landscape in Hyderabad. Efforts are underway to establish campuses of globally recognized educational institutions in the city. Moreover, local authorities have initiated the development of exclusive education zones, such as the Jawaharnagar Education Hub, which provides essential infrastructure and resources to support academic institutions.

Hyderabad is poised for significant expansion across various industries beyond IT, BFSI, and Pharma in the coming years. This growth, driven by technological advancements, can be further fueled by strategic investments from employers in upskilling their workforce. The city’s renowned educational institutions will provide young talent with the opportunity to learn cutting-edge industry knowledge and excel in their careers. Overall, the employment landscape in 2025 in Hyderabad will experience a positive impact on business growth driven by a new generation of professionals equipped with interdisciplinary technical expertise.

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