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City Watch: Exploring the Job Growth In Coimbatore in 2025

  • By: India Employer Forum
  • Date: 27 February 2025

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The job growth landscape is undergoing a significant transformation, with professionals increasingly seeking cities that offer promising career prospects alongside an affordable cost of living. Coimbatore, one of India’s rapidly emerging tier-2 cities, is poised to become a thriving hub for employment, particularly in the IT and manufacturing sectors.

With its favourable climate, affordable living conditions, and relatively lower population density, Coimbatore has become an attractive destination for long-term job growth. The presence of renowned educational institutions and research centres further strengthens the city’s potential, providing businesses with a skilled talent pool and fostering innovation.

Highlighting this trend, Mr Ramesh Alluri Reddy, CEO of TeamLease Degree Apprenticeship, stated, “Companies see a lot of untapped potential in tier-2 cities like Coimbatore, which contributes at least about 25 per cent of the software exports from Tamil Nadu.

As Coimbatore continues to evolve into a key employment hub, it is imperative for employers and job seekers to leverage the ample opportunities this dynamic city has to offer, paving the way for transformative growth in both employment and employability.

The Growing Importance of Tier -2 Cities 

In recent years, tier-2 cities have witnessed significant employment growth, often outpacing tier-1 cities. Emerging hubs such as Coimbatore, Udaipur, Jaipur, Lucknow and Kochi are driving this trend. Several factors contribute to this shift, including lower population density, reduced pollution levels, affordable housing, and minimal traffic congestion—all of which enhance the overall quality of life for residents.

For employers, tier-2 cities present compelling advantages such as access to a diverse talent pool, lower operational costs, and improved infrastructure, making them ideal locations for business expansion.

You might be also interested to read: Employment Growth in Hyderabad in 2025

Key Sectors Driving Job Growth in Coimbatore

Information & Technology

The IT sector in Coimbatore has been experiencing rapid job growth since the late 2000s, establishing the city as the second-largest IT hub in Tamil Nadu, after Chennai. Coimbatore is home to several prominent IT firms, including TCS, Cognizant, IBM, Robert Bosch GmbH, Dell, Cameron International Corporation, CSS Corp, and KGISL. Highlighting its employment potential, J. Sathish, Director of Kongu Global Forum, stated, “About one lakh college graduates secure jobs in top companies within the district.” The key drivers of this expansion include the presence of a large TIDEL Park and a highly skilled workforce that is available at an optimal cost.

The Tamil Nadu government has been actively strengthening Coimbatore’s IT infrastructure to further enhance employment opportunities. On November 5, 2024, Chief Minister M.K. Stalin inaugurated a new IT park with an investment of ₹158.32 crore, spanning 2.94 lakh square feet on the Electronics Corporation of Tamil Nadu (ELCOT) premises. Additionally, he announced the establishment of another IT park within the ELCOT SEZ, covering 3 million square feet in collaboration with private enterprises. This initiative is expected to create employment opportunities for approximately 36,000 youth in 2025.

Further emphasizing the state’s commitment to IT sector growth, Minister for IT and Digital Services, Mr Palanivel Thiagarajan, outlined a detailed plan for a world-class IT complex in the district. This project aims to cater to the increasing demand for employment and office space, solidifying Coimbatore’s position as a dynamic and evolving IT hub.

Manufacturing

Coimbatore is home to diverse manufacturing industries, including auto components, wet grinders, pump manufacturing, and gems and jewellery production. The city is a key hub for high-quality manufacturing, with many auto component manufacturers serving as Original Equipment (OE) partners for multinational brands. This has made Coimbatore an attractive destination for outsourcing precision-engineered auto components. Notable manufacturers in this sector include Robert Bosch GmbH, PRICOL, Craftsman Automation, and Roots Industries. Additionally, Coimbatore has a thriving mixer and wet grinder industry, with over 700 manufacturers contributing to a well-established global supply chain.

Recognized as the “Pump City of Asia,” Coimbatore is a major centre for pump and motor manufacturing. The city accounts for nearly 40% of India’s total motor and pump production, with a robust network of small and medium-scale enterprises. Leading manufacturers such as Mahendra Pumps, Suguna Pumps, Sharp Industries, Deccan Pumps, CRI Pumps, and Texmo Industries drive this sector’s growth, reinforcing Coimbatore’s reputation as an industrial powerhouse.

Jewellery manufacturing is another key sector that strengthens the city’s job growth. Coimbatore is home to numerous jewellery retailers, production units and jewellery machinery manufacturers. Additionally, the city has gained prominence in diamond cutting and polishing, further enhancing its presence in the global jewellery market.

To support and accelerate manufacturing growth, the Tamil Nadu government has introduced various strategic initiatives. The Tamil Nadu Industrial Policy 2021 aims to achieve a 15% annual growth rate in manufacturing and increase the sector’s contribution to 30% of the Gross State Value Added (GSVA) by 2030. Additionally, the Tamil Nadu Manufacturing Business Support Scheme provides vital assistance, including technology funding, quality assurance certification, subsidies for training programs and export incentives. These policies and initiatives play a pivotal role in fostering industrial expansion and positioning Tamil Nadu and Coimbatore in particular as a manufacturing hub of national and global significance.

Textile

Coimbatore, often referred to as the “Manchester of South India,” is a distinguished hub for the textile industry, supported by vast cotton fields and a strong network of textile mills. The city plays a crucial role in the global textile supply chain, exporting a wide range of products, including knitwear and woven apparel to international markets. The thriving textile industry has also driven the growth of textile machinery manufacturing, further strengthening Coimbatore’s industrial ecosystem.

The presence of renowned textile research and academic institutions has been instrumental in fostering innovation, enhancing fabric quality, and generating employment opportunities. Institutions such as the Central Institute for Cotton Research (CICR) – Southern Regional Station, the South Indian Textile Research Association (SITRA), and the Sardar Vallabhbhai Patel International School of Textiles and Management play a pivotal role in propelling this growth. The Southern India Mills Association (SIMA) actively governs and supports textile mills and workers across South India, creating a strong foundation for the emergence of new startups and dynamic career opportunities in the textile industry.

The government has introduced several strategic initiatives to promote the growth and modernization of the textile sector. Schemes such as the Textile Cluster Infrastructure Development Scheme (TCIDS) for infrastructure enhancement, the National Handloom Development Programme (NHDP) for funding new looms, and the Technology Upgradation Fund Scheme (TUFS) for modernizing existing technologies have significantly contributed to the sector’s development. The Samarth scheme, focused on skill development in textiles, encompasses handlooms, handicrafts, sericulture, and jute, further diversifying job opportunities within the industry.

In-Demand Job Roles in Coimbatore

With the rapid expansion of Coimbatore’s IT and manufacturing sectors, there is a significant demand for roles such as software developers, data analysts, business analysts, and manufacturing engineers. According to data from Naukri and Indeed (2025), approximately 3,205 job vacancies were reported across these roles in the city.

Software development leads the job market, accounting for 1,763 openings, which represents nearly 55% of the total vacancies. This underscores the steady growth of Coimbatore’s IT sector, demonstrating its potential to attract multinational corporations (MNCs) looking to establish or expand their operations in 2025.

The city’s robust manufacturing industry also contributes significantly to employment, with 1,013 vacancies for manufacturing engineers, making up 31% of the total job openings. 

Meanwhile, job openings for data analysts (240 vacancies, 7.5% of the total) and business analysts (189 vacancies, 6% of the total) remain relatively lower. However, with increasing government investments and the emergence of new industries, demand for these roles is expected to grow in the coming years. 

Education Prospects: Driving Job Growth in the City

Coimbatore harbours a diverse range of top-rated colleges, universities, and research centres that propel skill development and advanced innovation, to enhance employment and business growth.

Renowned for its excellence in engineering education, the city houses prestigious institutions such as Anna University, Karunya University, Amrita University, Hope College, PSG College of Technology, Government College of Technology, and Coimbatore Institute of Technology, all of which offer strong academic programs with excellent placement opportunities.

In the field of agriculture, the Tamil Nadu Agricultural University (TNAU) stands as a premier institution, attracting students from across the country for advanced education and research. Further, institutions such as the Government Law College, Coimbatore Medical College, Bharathiar University, and Government Arts College continue to produce highly skilled graduates, further strengthening the city’s talent pool across various disciplines.

Insights for Freshers and Employees

Students and professionals seeking employment in Coimbatore have access to extensive job opportunities across the IT, manufacturing, and textile industries. Whether fresh graduates or experienced professionals, individuals can significantly enhance their employability by acquiring in-demand skills aligned with industry requirements.

For those targeting the IT sector, proficiency in emerging technologies such as artificial intelligence (AI), machine learning (ML), data analysis, cybersecurity, cloud computing, mobile development, and augmented reality (AR)/virtual reality (VR) is essential. 

In the manufacturing sector, candidates can enhance their job prospects by developing expertise in big data & analytics, programming, lean manufacturing, Continuous Improvement Processes (CIP), fabrication technology, quality control and Good Manufacturing Practices (GMP). 

Beyond technical expertise, soft skills such as communication, teamwork, problem-solving, and critical thinking are equally crucial in both the IT and manufacturing sectors. These competencies enable professionals to collaborate effectively, drive innovation, and progress in their careers, leading to better salary prospects and promotions. 

With its thriving IT, textile, and manufacturing industries, Coimbatore has emerged as a hub for job growth in India in 2025. The city’s favourable climate, low population density, and affordable cost of living further enhance its appeal to professionals seeking a good balance in their professional and personal lives. A recent study predicts that Coimbatore will witness a 9% job growth rate in 2025, closely following Bengaluru at 10%. The presence of renowned educational institutions ensures a balanced supply of highly skilled talent, facilitating seamless job placements. For startups and established companies, leveraging this diverse talent pool presents a strategic opportunity to drive business expansion while optimizing recruitment costs.

References

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