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The Silent Layoff: How 50% of Software Jobs in Bengaluru Are at Risk Without Reskilling

In 2025, Bengaluru’s IT sector is experiencing a seismic structural decline as “silent layoffs” are taking place at the heart of Indian IT. Industry reports suggest that more than 50,000 software jobs have been lost or quietly made redundant this year.

6 min read
The Silent Layoff: How 50% of Software Jobs in Bengaluru Are at Risk Without Reskilling

AI

Bangalore (Bengaluru) continues to lead the Indian AI field, housing nearly 29% of the country's total AI professionals and approximately 31% of the nation‘s jobs in this domain in 2025. The industry is dominated by a huge trend towards Generative AI (GenAI) and automatic software engineer – with the city’s tech workforce hitting around 4.8M people.

Market Trends and Economic Impact

  1. GenAI Boom: 2025 is considered a global GenAI innovation hot-spot, with platforms such as Infosys Topaz and Wipro Holmes evolved into complete enterprise service suites.
  2. Job Market Dynamics: Hiring for AI & ML roles has grown 25% YoY. Even Entry-level AI engineers make ₹8–15 lakhs / annum or a specialized professional upto ₹44–204 lakhs/annum and Senior managers up to 30 Lakhs per annum.
  3. Government Measures: Karnataka government had announced a 100 crore fund to finance top 50 AI startups at the Bengaluru Tech Summit 2025. At the end of 2025, the state also introduced India's first AI-ready open-source personal computer Kio to democratize access to AI. ## IT Jobs in Bengaluru

Bangalore, or better known to you as Bengaluru is the leading IT destination in India for 2025, with limitless job opportunities in Software Development, Data Science, Cloud Computing, AI/ML, Cybersecurity, DevOps and Business Analysis Fresh graduates are welcomed by this city with open arms, rejoicing around corners of Electronic City, Whitefield and ORR corridor. Key skills are Cloud, AI/ML, Software Dev, Data Management, Hardware deployment and good soft skills, as firms aggressively hire for diversified tech and business roles.

Major IT hubs in Bengaluru

IT hubDescription
EastWhitefield & International Tech Park, Bagmane Tech Park
SouthElectronic City (early major hub)
Central East to NorthOuter Ring Road (ORR) Corridor
OtherMysore Road & Kengeri

Technology and Automation

Bangalore’s IT sector, also known as the “Silicon Valley of India”, is adopting new-age technologies such as AI, Machine Learning, Cloud, Cyber Security and DevOps at a faster pace which lead to efficiency for business processes but eventually resulted in job transitions – affecting the entry-level roles due to automated tools. Although the conventional behemoths such as TCS, Wipro and Infosys hold fort, new tech such as Gen AI and Data Science is driving up demand for a workforce that's armed with new skills – from core to high honor levels of managing AI systems, companies like Tech Mahindra investing in automation centers for skill enhancement.

Key Technologies

  1. Artificial Intelligence & Machine Learning (AI/ML): Automating coding, debugging and analyzing so the job is now reconstructed.
  2. Cloud & DevOps: Critical for agile infrastructure and modern IT environments.
  3. Cybersecurity: A trend toward needing more of them.
  4. Data Science & Analytics: Turning businesses into data-driven organizations.
  5. GenerativeAI (Gen AI): Rethinking roles and finding new opportunities.

Careers and Employability

Bangalore remains India's premier IT hub in 2025, offering abundant opportunities in high-demand fields like AI/ML, Cloud Computing, Cybersecurity, Data Science, and Software/Web Dev, attracting freshers and experienced pros with competitive salaries, rapid growth, and exposure at major company HQs (Google, Wipro, TCS).

Employability & Skills

  1. In-demand positions: Other than coding, some of the in demand roles are Cloud Engineers, Data Scientists, DevOps, Business Analysts and Customer Success Managers.
  2. Skills Spotlight: Must have Cloud Platforms, Data Science tools, Cybersecurity foundational elements, AI/ML and strong communication.
  3. For Non Tech Backgrounds: Transition time needed to learn relevant tech (6-12months), and focus on skill sets in demand, build computer literacy at the foundation Levels.
  4. Adaptability: The industry requires you to learn constantly, careers are often shorter (about 20 years) so you have to stay ahead of the curve with skills.

Layoffs in Bangalore

By 2025, the Indian IT industry – largely based in Bengaluru and also known as India’s Silicon Valley – is facing a wave of “silent layoffs” which experts have predicted will hit anywhere between 50,000-60,000 jobs by the end of this year. Unlike old-style mass firings, this is happening quietly without the loud alarms of performance-related exits, non-renewal of contracts and fading away without any formal public announcement.

Key Drivers of Job Risk

  1. AI and Automation
  2. Structural Transformation
  3. Skills Mismatch
  4. Economic pressure

Upskilling and Reskilling

By 2025, the IT/ITES industry in Bangalore is experiencing a complete overhaul and hand-in-hand with AI and automation that take over RPA (Robotic Process Automation), today more than ever continuous upskilling (that is, deepening of current skills) and reskilling (learning new to pivot your career) are both needed to survive in your career.

Top in demand skills for 2025

  1. Artificial Intelligence and GenAI
  2. Data science and Analytics
  3. Cloud and DevOps
  4. Cybersecurity

FAQ'S

Q1. What is a silent layoff?

Ans. A "Silent Layoff" is the decrease in a company's head count that happens quietly, sans official public announcement or mass layoff. It’s a sneaky method for companies to cut their expenses, lower the number of employees that they have on their payroll and transfer redundant roles (due to automation/AI etc.) without all the bad publicity and reputation damage that comes with laying off x amount of staff

Q2. Which jobs are most at risk?

Ans. The most at risk jobs are those with repetitive, rule-based tasks and which see employees engaged in “mundane intellectual labour”. However, these are the tasks that AI and automation tools can not only perform factually well but also for less.

Q3. Why are 50% of jobs at risk?

Ans. The underlying driver behind the 50% at-risk figure is that AI and automation software are being increasingly, rapidly implemented within companies.

Q4. How does Reskilling help mitigate this risk?

Ans. Reskilling is the best defense against the "Silent Layoff," as it leaves employee roles that can be replaced by AI, to positions where human oversight of AI is needed.

Conclusion

For Bengaluru’s software professionals, the path is clear: Reskill and grow to strategic, AI-enabled roles or stagnate at your own peril and meet a fate of Silent Layoff. Its own survival — and the careers within it — depends on embracing a mind-set of continuous, high-velocity learning by everyone.

Infigon Futures assess students with their studies and career opportunities helping them make informed decisions. Want to pursue a career in the IT sector? Take our free career assessment test.

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