India’s information technology and gig workforce are rapidly embracing artificial intelligence, with over 40 per cent of professionals now using AI tools for automation, analytics, and creative work. These findings come from the 13th edition of the India Skills Report 2026, highlighting how AI is becoming an integral part of daily professional activities.
The report, released by a common industry and education consortium, gathered insights from more than 100,000 candidates and 1,000 employers across seven key sectors.
Employability sees steady rise
India’s employability rate has climbed to 56.35 per cent from 54.81 per cent in 2025, showing continued progress in job readiness and skill adaptability. “Employability in India has improved to 56.35 per cent, up from 54.81 per cent in 2025, showing consistent progress in job readiness and skill adaptability. Tier-2 and Tier-3 cities such as Lucknow, Kochi, and Chandigarh are emerging as strong employability hubs, narrowing the urban and rural skill gap,” the report stated.
Women lead in employability for the first time
For the first time, female employability has surpassed that of men. Women recorded a 54 per cent employability rate compared to 51.5 per cent for men. This shift is largely driven by digital skill development programmes and flexible hybrid work models that have expanded career opportunities for women across industries.
India’s growing AI talent base
India now contributes 16 per cent of global AI talent, a number expected to rise to 1.25 million professionals by 2027. Generative AI tools are being widely adopted, with over 90 per cent of AI-enabled employees using them across sectors. The report also found that AI-driven recruitment is gaining traction, with 70 per cent of IT firms and 50 per cent of banking, financial services, and insurance (BFSI) companies integrating such tools into their hiring processes.
Future hiring trends and talent outlook
Hiring intent for FY27 has increased to 40 per cent, up from 29 per cent last year, reflecting strong demand in technology, BFSI, manufacturing, renewable energy, and healthcare. By 2030, the world may face a labour shortage of 85 million workers, while India is expected to have a surplus of 45 million skilled professionals, positioning it as a major global talent hub.
The BFSI and fintech industries alone are projected to create 250,000 new jobs by 2030, growing at an annual rate of 8.7 per cent.
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