Romanian IT sector freezes hiring and cuts jobs as AI reshapes industry: survey

AI is reshaping the job market across various industries, with significant impacts on employment patterns and hiring practices.
In the IT sector, companies in Romania are experiencing layoffs, frozen salaries, and fewer opportunities for junior employees due to the influence of AI and competition from countries like India. Alexandru Lăpușan, CEO of Zitec, a Romanian firm with 350 employees and an annual turnover of €40 million, stated, "In IT-ul românesc au cam înghețat angajările." The average net salary in the Romanian IT sector is almost 13,000 lei. The industry is feeling pressure from India, which has improved its IT services and has a large workforce of 5 million people in the IT sector. In the Czech Republic, there have been layoffs and controversies in the IT sector. In other countries, there have been court cases involving people laid off due to AI-related reasons .
Meanwhile, Visa is considering laying off up to 2,600 workers to accelerate the integration of AI into its operations .
In Denmark, a survey found that the majority of technical companies consider a candidate's skills and motivation to be more important than whether they have a criminal record .
In Germany, two-thirds of audit firms plan to reduce entry-level positions in the coming years, according to a recent survey by Lünendonk & Hossenfelder. The industry has traditionally seen high turnover, with many junior employees moving to other companies after a few years. Audit firms have traditionally hired hundreds of university graduates each year for the complex task of auditing company financial statements .
In Spain, the number of self-employed workers with employees has been declining rapidly, with 42,500 workers lost in just three months, bringing the total to 933,100, the lowest level in a decade .
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