Tech Mahindra has halted the onboarding of over 1,000 engineering graduates from the 2025 batch.
The move follows a period of significant market volatility and a strategic shift toward “margin protection” over aggressive headcount expansion.
The “Onboarding Freeze” Details
The delay affects students primarily from Maharashtra and Pune, many of whom were selected as far back as March 2025 during campus placements.
- The Timeline Gap: While several of their peers received joining dates in late 2025, over 1,000 candidates are still waiting for official offer letters or joining instructions.
- The “Margin” Mandate: In internal communications and analyst briefings, Tech Mahindra’s leadership, including CEO Mohit Joshi, has emphasized a shift toward utilization. Instead of bringing in a massive “bench” of freshers, the firm is focusing on redeploying existing staff from fixed-price projects that have been optimized by AI.
- Impacted Batch: This pause specifically targets the 2025 batch, creating a “logjam” that placement officers fear will negatively impact the upcoming 2026 campus hiring season.
Wider IT Sector Trends (March 2026)
Tech Mahindra is not alone in this cautious approach. The entire Indian IT sector is currently grappling with “unpredictable demand” and the disruptive impact of Agentic AI.
| Company | Current Onboarding Status |
| Tech Mahindra | Halting ~1,000 freshers to focus on a 13.1% EBIT margin target. |
| Infosys | Recently added 8,000 employees but maintains “selective” onboarding for campus hires. |
| Wipro | Delaying onboarding for roughly 2,000 candidates from previous cycles. |
| TCS | Under government summons for delaying 600 lateral hires, though it maintains that “all campus offers will be honored.” |
Tech Mahindra’s Strategic Pivot
Despite the hiring pause, the company’s financials are strengthening. Its Q3 FY26 results (released Jan 2026) showed:
- Profit Growth: Up 14.1% YoY to ₹1,122 crore.
- Headcount Reality: Total headcount fell by 872 employees last quarter—the ninth consecutive quarter of margin improvement.
- The AI Factor: Tech Mahindra recently launched an “Ontology-driven Agentic AI platform” with Microsoft, designed to automate telecom data modernization—tasks that were previously handled by large teams of junior engineers.
The “NITES” Response
The Nascent Information Technology Employees Senate (NITES), an IT employee union, has reportedly received multiple complaints regarding these delays. The union has indicated it may approach the Ministry of Labour and Employment if a clear “Joining Roadmap” is not provided to the affected graduates by the end of March.
