AI Reshapes IT Hiring: No More Bulk Recruits, Just Precision Picks

IT firms are avoiding bulk hiring in 2025, opting for targeted, skill-based hiring as AI adoption and economic frugality reshape strategies. Although IT services hiring is expected to rise by 20–25%, demand is AI specialists, cloud architects, and data engineers-led, with restructuring ongoing in non-core areas (30,000+ tech jobs cut globally in early 2025).

 

Key trends:

 

Skills over degrees: Companies prioritize AI flexibility, cloud skills, and experiential expertise over traditional degrees.

 

Selective hiring: Tech giants like Google and Microsoft are selectively recruiting after firing, focusing on AI-driven initiatives.

 

Global prudence: UK employers project -27% hiring intention for Q2 2025, showing a "hiring recession" as businesses hold out for policy clarity. 

 

As generative AI firms up, firms balance productivity gains against reskilling workers to bridge skill gaps.

 

Sources: Forbes, ManpowerGroup, nineDots, RationalFX