AI-driven productivity may deliver 3–5% growth without adding staff: HCLTech CEO at Davos 2026
Vijayakumar said AI has created several new services and will open up new revenue lines for the IT sector, even as it reduces the need for large hiring sprees.
- Jan 19, 2026,
- Updated Jan 19, 2026 9:03 PM IST
The rapid pace of artificial intelligence (AI) innovation has fuelled constant fears of job displacement. However, C Vijayakumar, CEO and Managing Director of HCLTech, offered a different perspective in an exclusive conversation with Business Today at the 2026 World Economic Forum (WEF) in Davos.
Vijayakumar said AI has created several new services and will open up new revenue lines for the IT sector, even as it reduces the need for large hiring sprees.
“I think some amount of growth, maybe 3 to 5%, is possible without having to add people. By really amplifying the capability of the people, you can deliver 3 to 5% growth without needing to add headcount,” the HCLTech CEO said. “If you really aspire to grow much more than that, then obviously it will be very dependent on talent infusion.”
Jobs will become more ‘agentic’
Vijayakumar also spoke about how jobs will become more agentic with AI, reducing the need for physical assistance.
“Today, it’s very people-intensive. The way AI is evolving, it will become a lot more agentic and really amplify the potential of people to deliver more, but with a significantly smaller workforce,” he said.
The rise of physical AI
While AI may emerge as a major job disruptor as it gains agentic capabilities, Vijayakumar also highlighted the rise of Physical AI. He said Physical AI could bridge the gap between software intelligence and real-world outcomes.
“Whether it is facilities management, remote surgery, or ensuring safety in mines and ports, all of that can be done very efficiently using physical AI solutions today,” he said.
Although the industry is still in the early stages of agentic AI, companies are already rapidly building systems that require minimal human intervention and can plan, decide, and act on complex tasks autonomously.
As far as HCL Tech's AI innovation is concerned, the executive during the recent earnings calls highlighted that, "The strong revenue momentum in the quarter has enabled us to cross $15 billion in annualised revenues." He added, "We are well-positioned to address evolving AI demand of our clients across industries and service lines."
Watch the full interview here:
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine
The rapid pace of artificial intelligence (AI) innovation has fuelled constant fears of job displacement. However, C Vijayakumar, CEO and Managing Director of HCLTech, offered a different perspective in an exclusive conversation with Business Today at the 2026 World Economic Forum (WEF) in Davos.
Vijayakumar said AI has created several new services and will open up new revenue lines for the IT sector, even as it reduces the need for large hiring sprees.
“I think some amount of growth, maybe 3 to 5%, is possible without having to add people. By really amplifying the capability of the people, you can deliver 3 to 5% growth without needing to add headcount,” the HCLTech CEO said. “If you really aspire to grow much more than that, then obviously it will be very dependent on talent infusion.”
Jobs will become more ‘agentic’
Vijayakumar also spoke about how jobs will become more agentic with AI, reducing the need for physical assistance.
“Today, it’s very people-intensive. The way AI is evolving, it will become a lot more agentic and really amplify the potential of people to deliver more, but with a significantly smaller workforce,” he said.
The rise of physical AI
While AI may emerge as a major job disruptor as it gains agentic capabilities, Vijayakumar also highlighted the rise of Physical AI. He said Physical AI could bridge the gap between software intelligence and real-world outcomes.
“Whether it is facilities management, remote surgery, or ensuring safety in mines and ports, all of that can be done very efficiently using physical AI solutions today,” he said.
Although the industry is still in the early stages of agentic AI, companies are already rapidly building systems that require minimal human intervention and can plan, decide, and act on complex tasks autonomously.
As far as HCL Tech's AI innovation is concerned, the executive during the recent earnings calls highlighted that, "The strong revenue momentum in the quarter has enabled us to cross $15 billion in annualised revenues." He added, "We are well-positioned to address evolving AI demand of our clients across industries and service lines."
Watch the full interview here:
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine