HCLTech pays AI freshers ₹22 lakh, igniting India's specialized talent war.

Paying fourfold the standard rate underscores the critical scarcity and escalating value of AI-ready engineers.

January 13, 2026

HCLTech pays AI freshers ₹22 lakh, igniting India's specialized talent war.
The announcement by HCLTech to offer an eye-watering compensation package of up to ₹22 lakh Cost To Company for a select group of Artificial Intelligence-ready freshers has sent a significant ripple through India’s conservative IT services sector, signaling a definitive new front in the global battle for specialized digital talent. The unprecedented offer, which in some cases represents a fourfold increase over the company’s standard entry-level salary, is designed to cultivate an exclusive “elite cadre” of engineers equipped to drive the firm’s aggressive AI-first strategy. Ram Sundararajan, HCLTech’s Chief People Officer, articulated the rationale behind the bold move, stating, “We have to be competitive to be able to attract the best of talents that we want for our elite cadre.”[1] This strategy marks a pivot away from the volume-based recruitment model long favored by the Indian services giants toward a highly selective, skills-premium approach.[2]
The decision to benchmark fresher salaries at levels typically reserved for seasoned professionals or graduates from premier product-based multinational corporations highlights the critical scarcity and escalating value of truly 'AI-ready' talent in the market. Historically, major Indian IT services firms, including HCLTech, have offered standard entry-level packages to engineering graduates in the range of ₹3.5 lakh to ₹6.0 lakh per annum, with HCLTech's general *Ascend* track starting at approximately ₹4.50 lakh CTC in major locations.[1][3] Even the company's existing meritocratic higher-tier tracks, *Momentum* and *Polaris*, top out at ₹10.0 lakh CTC for the top ten percent of candidates, making the ₹22 lakh figure a dramatic leap that squarely positions the firm as a direct competitor to global tech titans like Google and Microsoft, whose entry-level AI/ML engineering roles can command similar or slightly higher packages.[3][4] The company's goal is to designate between 15 and 20 percent of its overall fresher intake to this new premium skill category, a number that mirrors the industry's general assessment of the proportion of new talent considered truly ready for advanced AI roles.[1][2]
This financial commitment is intrinsically linked to HCLTech's extensive, company-wide pivot toward an AI-first operating model. The firm is systematically building its internal capacity to integrate generative AI and other advanced technologies into all software and operational workflows, a transformation that requires a deep and specialized talent pool. To underscore the scale of this internal transformation, the company has already undertaken a massive upskilling initiative, training over 127,000 existing employees in foundational AI, with more than 42,000 receiving certifications in advanced generative AI.[1] Furthermore, approximately 12,000 professionals are already actively engaged in client-facing GenAI projects, demonstrating a pipeline of work that necessitates an influx of young, high-potential AI expertise. The newly created "elite cadre" of freshers is expected to step into roles focused on niche capabilities in areas like data science, cybersecurity, digital engineering, and enterprise technology, directly serving the complex demands of global clients undergoing their own digital transformations.[1][2]
The strategic rationale behind paying a substantial premium for this niche talent extends beyond simply filling immediate project needs; it is a calculated investment in the long-term profitability and competitive differentiation of the enterprise. HCLTech’s leadership views this emphasis on engineering depth and proprietary intellectual property, particularly its move toward *agentic AI* and its *AI Force* platform, as key differentiators in an increasingly crowded market.[1] CEO C Vijayakumar has linked these technology investments and strategic workforce planning to the company's ambition of achieving a target of 18%-19% operating margins. While the high cost of this premium hiring has resulted in short-term headwinds and a sequential decline in EBIT margin in recent quarters, the management has expressed confidence that the strategic value and superior billing rates commanded by this top-tier talent will resolve these cost pressures within a couple of quarters.[1] In essence, the recruitment of an elite AI-ready workforce is seen not as a cost center, but as a strategic asset to enable higher-value services and premium client engagements.
The introduction of such a high-tier compensation structure by a major Indian IT service company is likely to have a profound, disruptive effect on the country's technology talent landscape. It formalizes the widening gulf in compensation between general engineering graduates and those who possess demonstrable, cutting-edge skills in domains like AI and Generative AI, which has been an emerging trend in the last few years. The move will intensify the pressure on other large IT services companies, which collectively employ the vast majority of fresh engineering talent, to revisit their own fresher compensation strategies or risk losing their highest potential recruits to firms prioritizing high-margin, specialized services. For students, the message is clear: the pathway to a high-value career has shifted from mere academic completion to acquiring specialized, immediately deployable skills. The focus for aspiring engineers will now double down on intensive training programs, certifications, and real-world project experience, as the industry's demand has decisively moved from mere headcount to high-caliber intellect, with the financial reward structure being recalibrated to match.[2]

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