New Delhi: Hiring intentions in India declined slightly heading into the third quarter of 2025, with employers reporting a Net Employment Outlook (NEO) of 42%, according to the latest ManpowerGroup Employment Outlook Survey.
The results, based on responses from 3,146 employers across India during April 2025, show the Outlook declining by one point from the previous quarter while improving by twelve points year-over-year. Despite the quarterly dip, the Indian hiring Outlook remains very animated.
This optimism is driven by strong growth in the private services sector and expectations of economic benefits stemming from shifts in global trade dynamics-especially about China. Amid these favourable conditions, India continues to position itself as a key player in the global employment landscape.
“As we enter the third quarter of 2025, India’s employment Outlook remains robust, with a NEO of 42% – among the highest globally. Despite a slight dip from the previous quarter, the 12-point year-on-year gain highlights sustained employer confidence and growth momentum in the labour market,” said Sandeep Gulati, Managing Director, ManpowerGroup India and Middle East.
“This optimism is driven by strong hiring intent in sectors such as Information Technology, Energy & Utilities, and Financial Services, where companies are actively expanding and accelerating digital transformation. Even amid global geopolitical uncertainty and trade disruptions, Indian employers are staying proactive – 82% report increased investment in automation, while 67% are evolving their workforce strategies to meet changing skill demands.”
He further added, “We are seeing a clear shift from volume hiring to building agile, digitally skilled teams. As organisations adapt to this new world of work, resilience and transformation will be key. At ManpowerGroup, we believe India is well-positioned to lead in the region, and employers who invest in innovation and inclusive talent strategies will be best placed to thrive in the long term.”
Used internationally as a bellwether of labour market trends, the NEO is calculated by subtracting the percentage of employers who anticipate reductions in staffing levels from those who plan to hire.
Q3 KEY FINDINGS
- The majority of employers – 54% anticipate an increase in hiring, 32% expect to maintain current staffing levels, 12% anticipate a decrease, and 2% are unsure.
- India’s most competitive sector is Energy & Utilities, with an Outlook of 50%, showing an increase of 18 points since the prior quarter and this quarter last year. For this sector, this quarter marks the highest NEO recorded since 2023.
- The most competitive region in India is the North region with a NEO of 46%, showing an increase of 2 points since the previous quarter and 10 points since Q3 2024. This is followed by East (44%), West (41%) and South with 36% NEO.
- Employers in India within large organisations of 1000-4999 employees show the most optimism with a NEO of 52%. Expectations in these organisations decreased by 6 points since the previous quarter but increased by 10 points since this time last year.
WORKFORCE TRANSFORMATION ACCELERATES
In addition to Employment Outlooks, the report also delves into key factors such as the ageing population, economic uncertainty, and technological automation, examining their impact on shaping HR strategies.
- Navigating the Challenges of an Ageing Workforce: The survey reveals employers are facing unprecedented workforce changes. Nearly 7 in 10 companies (67%) report that the growing number of older workers leaving the workforce is impacting their HR strategy, with the Information Technology (73%) and Energy & Utilities sectors (72%) being the most affected.
- Hiring in the Face of Trade Uncertainty: Simultaneously, global trade uncertainty is shaping hiring decisions for 90% of companies. The impact is particularly pronounced among employers in Energy & Utilities (94%), Information Technology & Communication Services at 93% each, closely followed by those in Financials & Real Estate at 91%.
- Leading in a Tech-Driven World: In response to these pressures, 82% of organisations are increasing investment in task and process automation. This figure jumps to 85% among companies most impacted by workforce ageing and trade uncertainty.
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