India’s Hiring Outlook for Q3 2025 Remains Strong at 42%, Driven by Energy and Tech Sectors

India’s employment outlook continues to hold firm despite global market uncertainty, with the Q3 2025 Net Employment Outlook (NEO) standing at a solid 42%, according to the latest ManpowerGroup Employment Outlook Survey. While this marks a minor 1-point dip from Q2 2025, it reflects a 12-point increase year-over-year, highlighting sustained optimism among Indian employers.

The ManpowerGroup survey, which analysed responses from 3,146 employers nationwide, shows India ranking second globally for hiring sentiment. The resilience is attributed to strong growth in the Energy & Utilities, Information Technology, and Industrials & Materials sectors, which are undergoing significant transformation amid global trade shifts and tech disruptions.

“India’s labor market is adapting fast to the new dynamics,” said Sandeep Gulati, Managing Director, ManpowerGroup India & Middle East. “The hiring focus is shifting from mass recruitment to building agile, digitally competent teams. Despite geopolitical headwinds, Indian companies remain bullish on innovation and workforce evolution.”

Top Hiring Sectors and Regions

The Energy & Utilities sector leads hiring expectations with an NEO of 50%—the highest for this sector since 2023. This surge reflects increased infrastructure investment and sustainability drives. Close behind is Information Technology at 46%, as demand for AI and automation skills intensifies, followed by Industrials & Materials at 45%.

Regionally, North India shows the highest hiring optimism (NEO of 46%), followed by the East (44%), West (41%), and South (36%). Employers with 1,000–4,999 employees are the most confident, reporting a 52% NEO despite a 6-point quarterly dip.

Key Factors Influencing Workforce Trends

• Company Expansion remains the top driver of hiring (44%), underscoring a growth mindset across sectors.

• Economic challenges were cited by 38% of respondents as the leading cause of planned workforce reductions.

• Automation investment continues to rise, with 82% of organizations integrating task and process automation—particularly those impacted by aging workforces and trade uncertainties.

Notably, 67% of employers are recalibrating HR strategies to counter the effects of an aging workforce. In IT and Energy, over 70% report talent gaps as older workers exit, intensifying the need for upskilling and digital-first hiring strategies.

New quarter, new insights!

On June 10, we are unveiling the Q3 @ManpowerGroup Employment Outlook Survey— packed with fresh data on employer hiring intentions, workforce trends, and more.

Set a reminder and check back here to explore the insights shaping the #FutureOfWork! pic.twitter.com/8uYJWFw27Q

— ManpowerGroup (@ManpowerGroup) June 6, 2025

India’s Global Position

With a NEO that exceeds the global average by 36 points in Energy & Utilities, India’s labor market is increasingly seen as a global talent hub. The country’s strategic response to geopolitical and economic changes positions it as a leader in workforce resilience and innovation.

Looking Ahead

As India’s employers prioritize adaptability, automation, and inclusive hiring strategies, the outlook for Q4 and beyond appears optimistic. The next ManpowerGroup Employment Outlook Survey will be released in September 2025.

For detailed survey data, visit ManpowerGroup India.