India’s hiring market poised for strong 2025 start as recruitment activity surges by 12%: Report

India's job market is on track for a vigorous start to 2025, with newly released data from foundit (formerly Monster APAC & ME), pointing to an upswing in recruitment across multiple sector.

According to the foundit insights tracker (fit), the country's hiring activity climbed 12% over the last six months and recorded a notable 31% year-on-year (YoY) increase in December.

The data highlights growth in 22 out of 27 monitored sectors, led by consumer electronics, manufacturing, and construction & engineering, each surpassing 50% YoY gains.

“The growth in hiring activity across sectors underscores the resilience, adaptability, and dynamism of India’s job market,” said V Suresh, CEO of foundit.

“What’s particularly exciting is the explosive growth in AI at 42% in just two years, showcasing the transformation of an important skill set into a core driver of the economy. With a projected 14% further growth in AI hiring in 2025, we are witnessing a paradigm shift where AI is no longer a futuristic concept, but a fundamental element of India’s present and future workforce.”

Steady momentum and improving hiring sentiments

In December 2024, the hiring index rose by 5% compared to the previous month, reaching 334. This momentum has been consistent, with an 8% increase in recruitment over the past three months, indicating sustained confidence in India’s economic outlook. The report also points to long-term employment strategies, suggesting that Indian businesses remain focused on bolstering workforce capabilities.

Healthcare and HR sectors on the rise

Medical roles saw a 44% annual growth, propelled by telemedicine, diagnostics, and specialised nursing positions. Health tech roles such as Healthcare Analysts also grew by 12%. Meanwhile, HR & Admin jobs rose 21% in the last three months, as businesses sought specialists capable of harnessing AI-driven tools and data insights to refine workforce management.

Tier-2 and tier-3 cities emerged as hiring hotspots for healthcare, accounting for 30% of new roles. The uptick in demand for biotechnology, medical coding, telemedicine platforms, and AI-based healthcare solutions signals a rapidly transforming sector looking to meet evolving patient needs, the report added.

Sector-specific highlights

Telecommunication: Achieved a 25% upswing over the past three months, and 38% YoY recruitment growth.

BFSI: Notched 30% growth in the last six months, with 37% more hires than the previous year. AI-related roles grew modestly by 2% annually.

Travel and tourism: Saw a 14% decline in hiring activity over the past six months, indicating a sector in flux.

Advertising & public relations: Posted a 14% rise in job postings, spurred by demand for AI-driven campaign strategies, digital storytelling, and analytics.

Automation: Recorded a 10% growth last month and 11% over the last quarter. Roles such as quality engineers, automation engineers, and robotics specialists saw double-digit growth, prompting widespread upskilling initiatives.

AI/ML specialists and data analysts in demand

AI/ML specialist roles topped the chart with a 21% increase in demand, trailed by Data Analysts at 14%. Digital Marketing Specialists and Software Developers also rose by 12% and 10%, respectively. Product and Project Managers each posted a 5% increase. Key skills currently in demand include Data Analysis (18%), Digital Marketing (12%), Java (10%), and DevOps (5%).

Hiring by experience level

Entry-level roles (0-3 years) observed an 18% spike, while associate-level roles (4-6 years) grew by 15%. Mid-senior positions (7-10 years) recorded the highest growth at 20%. Senior roles (11-15 years) experienced a 5% uptick, whereas executive positions (16+ years) dipped by 6%.

Leading cities

Recruitment surged across all 13 tracked cities in December. Coimbatore led with a 58% YoY jump, followed by Bengaluru at 41% and Chennai at 37%. Mumbai posted an 11% month-on-month increase, and Delhi-NCR and Hyderabad reported 33% and 36% YoY growth, respectively. Pune registered a 35% YoY rise, reinforcing its position as a growing hub for emerging tech roles.

AI hiring trends

The number of AI-related jobs in India reached 253,000 in 2024, reflecting a 42% increase over two years. Proficiency in Python (53%), AI/ML (32%), SQL (21%), and Software Development (21%) remains essential, with TensorFlow and PyTorch skills also drawing strong interest from recruiters.

- Bengaluru leads AI hiring with 26% of such positions. - Pune and Delhi-NCR follow at 17% and 14%, respectively. - A further 14% rise in AI jobs is projected for 2025, driven by growing adoption in BFSI, healthcare, retail, and manufacturing.

These latest findings underscore India’s adaptability and focus on innovation, painting a picture of a job market ready to embrace new technologies and opportunities in the year ahead.