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New Delhi: India has strengthened its position as a global hub of talent with national employability reaching 56.35 per cent in the year 2026. This surge is up from 54.81 per cent in the year 2025 as per the India Skills Report 2026. The report highlights India’s transformation into a skill-first, AI-driven economy, where over 90 per cent of employees now use generative AI tools in professional careers. Released by ETS in collaboration with CII, AICTE, AIU, and Taggd, this is the 13th edition of the report which presents a comprehensive overview of the changing employment landscape across the country.
The report has insights from over one lakh candidates who took the Global Employability Test (GET) and responses from over 1,000 organisations across seven industries. With a focus on 'The Future of Work: Gig workforce, freelancing, AI-supplemented workforce, remote work and entrepreneurship,' the report highlights India’s evolving workforce readiness in the era of digital transformation.
India’s employability has seen steady growth from 46.2 per cent in 2022 to 56.35 per cent in 2026. The report emphasises that India now contributes 16 per cent of the global AI talent crowd, which is planned to reach 1.25 million by the year 2027.
As per Nirmal Singh, CEO of Wheebox ETS and Chief Convenor of the India Skills Report, 'The next decade will cement India’s leadership in global talent mobility through modular, AI-integrated skilling and internationally recognised certifications.'
The findings also reveal that Computer Science and IT engineers remain the most employable, with 80 per cent and 78 per cent respectively, while MBA graduates saw a slight decline. Moreover, Commerce (62.81 per cent), Science (61 per cent) and Arts (55.55 per cent) graduates witnessed improvements due to hiring surges in BFSI, Fintech and interdisciplinary sectors.
India’s gig and freelance workforce continues to expand rapidly expected to reach 23.5 million by 2030. The rise in project-based hiring by 38 per cent indicates growing demand for flexible and specialised roles. The technology, BFSI, manufacturing, renewable energy and healthcare sectors remain at the forefront of hiring.
AI, data analytics, cloud computing and cybersecurity are identified as the most in-demand skills, reflecting India’s push toward digital and green economies. Uttar Pradesh, Maharashtra and Karnataka recorded the highest employability levels in 2026.
The most significant findings of the report is the rise in women’s employability which has reached 54 per cent, surpassing men who is 51.5 per cent for the first time in five years. Tier-2 and Tier-3 states which include Uttar Pradesh, Kerala and Telangana show strong female participation in BFSI, education and healthcare sectors
The report also shows gendered trends in career preferences which is women dominate in legal (96.4 per cent) and healthcare (85.95 per cent), while men prefer graphic design (83.11 per cent) and engineering design (64.67 per cent).
| Year | Men (in per cent) | Women (in per cent) |
|---|---|---|
| 2020 | 34.26 | 47 |
| 2021 | 34.26 | 41.25 |
| 2022 | 47.28 | 53.28 |
| 2023 | 47.20 | 52.80 |
| 2024 | 51.80 | 50.86 |
| 2025 | 53.46 | 47.53 |
| 2026 | 51.50 | 54 |
The report notes that 40 per cent of planned hires for FY 2026–27 will be for new roles. The IT sector continues to dominate fresher hiring, contributing 35 per cent of total new recruits, while pharmaceuticals and healthcare (65 per cent), BFSI (32 per cent) and FMCG (40 per cent) lead in hiring candidates with 1 to 5 years of experience.
AI is also reshaping the recruitment landscape with 70 per cent of IT companies and 50 per cent of BFSI firms having integrated AI-based recruitment tools. Meanwhile, the green sector is witnessing emerging job roles such as renewable energy technicians, solar and wind engineers, sustainability analysts and climate data specialists.
However, the report cautions that challenges persist. The pace of curriculum reform, the need for energy-efficient AI infrastructure and climate-aligned job creation are key areas demanding immediate attention. Despite progress, the demand for AI, data, cybersecurity and cloud experts still outpaces the supply making upskilling and vocational education more critical than ever.
