- Indian employers reported a slight dip in hiring intentions compared to Q2 2025 and report the 2nd highest Outlook
- Across the sectors, the Energy & Utilities emerged as the strongest with a Net Employment Outlook of 50%, followed by Information Technology (46%), and Industrials & Materials (45%).
- Company expansion (44%) remains the top reason for staffing increases, while economic challenges (38%) top the list for anticipated workforce reductions.
NEW DELHI, INDIA – 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 in relation to China. Amid these favorable 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 labor market,” said Mr. 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 organizations 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 labor 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 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 This is followed by East (44%), West (41%) and South with 36% NEO.
- Employers in India within large organizations of 1000-4999 employees show the most optimism with a NEO of 52%. Expectations in these organizations 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 aging population, economic uncertainty, and technological automation, examining their impact on shaping HR strategies.
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Navigating the Challenges of an Aging Workforce:
The survey reveals employers are facing unprecedented workforce 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.
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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%.
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Leading in Tech-Driven World:
In response to these pressures, 82% of organizations are increasing investment in task and process automation. This figure jumps to 85% among companies most impacted by workforce aging and trade uncertainty.
SECTOR OUTLOOK HAS A NEW ENTRANT
India’s most competitive sector is Energy & Utilities, with an employment 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. Also, it marks the highest growth in expectations across all other sectors on a quarterly comparison. Globally, India ranks second for its employment expectations in the Energy & Utilities sector, surpassing the global average NEO by 36 points.
Information Technology comes in as the second leading sector with hiring intentions at 46%, down eleven points year-over- year. The sector’s strength reflects ongoing digital transformation needs and AI-related skill demands. Other strong performers include – Industrials & Materials (45%), Financials & Real Estate (43%) & Healthcare & Life Sciences (38%).
To view the complete results for the Q3 2025 ManpowerGroup Employment Outlook Survey, including regional and country data, visit: https://www.manpowergroup.co.in/manpowergroup-employment-outlook-survey.aspx. The next survey will be released in September 2025 and will report hiring expectations for the fourth quarter of the year.
