Job Outlook

1. Hiring rose 23% in 2025, with slower growth in the second half
2. 24 of 27 industries reported positive recruitment growth
3. NPOs led with 55% growth, followed by consumer electronics at 53%
4. Senior management roles grew 39%; IT hiring rose 30%
5. Tier-2 cities like Coimbatore and Ahmedabad saw sharp hiring gains
6. India is projected to add about 1.28 crore jobs in 2026

India’s job market closed 2025 on a high note, recording a 23% year-on-year increase in hiring activity, reflecting strong employer confidence and steady recruitment across industries. Growth moderated to 4% in the second half of the year, indicating a shift toward more calibrated, productivity-focused hiring. Tier-2 and Tier-3 cities emerged as key talent hubs, signalling the decentralisation of the workforce.

“2025 was a year of strong expansion coupled with disciplined hiring. Tier-2 cities are increasingly becoming operational anchors for tech, BFSI, logistics, and retail sectors,” said Anupama Bhimrajka, VP, Marketing, Foundit. She added that demand for AI-ready skills, strategic leadership, and mid-career digital talent will remain strong in 2026, even with selective intake in some sectors.

Out of 27 industries tracked, 24 reported growth in recruitment. Non-profit organisations led the way with a 55% increase in hiring, reflecting rising demand for impact-driven roles. Consumer Electronics (+53%) and Healthcare & Pharmaceuticals (+45%) also saw strong momentum, driven by manufacturing expansion and healthcare demand. Core sectors like Manufacturing (+39%), Logistics & Transportation (+37%), and Construction & Engineering (+34%) recorded steady growth, while services-led sectors including Media & Entertainment (+36%), Retail (+34%), and BFSI (+27%) continued to expand alongside rising digital adoption and consumer demand.

Senior management and IT roles drove functional hiring growth, highlighting demand for leadership and specialised talent. Senior management hiring surged 39% YoY, while IT roles rose 30%, supported by digital transformation and AI initiatives. Corporate support functions such as HR & Admin (+33%) and Finance & Accounting (+25%) recorded healthy growth, while Sales & Business Development roles rose 23%. Marketing & Communications (+14%) and Legal (+12%) saw steady but selective hiring. These trends reflect companies prioritising mid-to-senior professionals capable of driving execution, governance, and technology adoption.

Tier-2 cities led geographic growth, with Coimbatore (+24%) and Ahmedabad (+19%) emerging as high-growth talent hubs. Bengaluru (+23%) and Hyderabad (+21%) continued to anchor national hiring, supported by tech, manufacturing, and BFSI demand, while Mumbai (+22%) and Pune (+19%) strengthened their roles in finance and enterprise sectors. Overall, hiring momentum spread beyond traditional metros, signalling a distributed and cost-optimised talent model.

Mid-to-senior professionals with 7–10 years of experience saw the highest growth at 29%, while early-career hiring (0–3 years) rose 19% and mid-level roles (4–6 years) increased 15%. Very senior roles (15+ years) slightly contracted by 1%, reflecting more selective leadership hiring.

Looking ahead to 2026, India’s job market is expected to grow steadily, with an estimated 1.28 crore new jobs. Demand will remain strong for mid-to-senior professionals in digital, AI, cloud, data, and cybersecurity. Tech, BFSI, manufacturing, infrastructure, and renewable energy are expected to lead hiring, while emerging sectors such as fintech, health tech, and electric mobility will create niche opportunities. Companies are likely to expand operations in Tier-2 cities to optimise costs and tap diverse talent pools. Startups are expected to drive selective hiring in product, engineering, growth, and revenue roles. Bengaluru and Hyderabad will continue to lead, with Tier-2 cities like Coimbatore, Jaipur, and Baroda also recording steady growth, marking a shift toward a multi-city, distributed talent model.

2025 was a year of strong expansion coupled with disciplined hiring. Tier-2 cities are increasingly becoming operational anchors for tech, BFSI, logistics, and retail sectors 

- Anupama Bhimrajka, VP, Marketing, Foundit