India has firmly established itself as a global talent powerhouse, with its employability rate climbing to a significant 56.35 percent according to the latest India Skills Report. This marks a notable rise from 54.81 percent in the previous year, showcasing the country's accelerating journey towards a skill-first economy.
Key Drivers of India's Talent Transformation
The India Skills Report 2026, released by ETS in collaboration with the Confederation of Indian Industry (CII), All India Council for Technical Education (AICTE), Association of Indian Universities (AIU), and Taggd, highlights a remarkable transformation. The data reveals a steady upward trajectory, with employability surging from 46.2 percent in 2022 to the current 56.35 percent.
This growth is largely fueled by the nation's rapid adaptation to new technologies. The report identifies the expansion of modular training, widespread use of digital tools, and the integration of AI into learning models as primary catalysts. Over 90 percent of Indian employees now report using Generative AI tools in their daily work, underscoring a profound digital integration.
Gig Economy and Top-Performing Sectors
A central theme of the report is the reshaping of work through non-traditional models. The gig and freelance workforce in India is expanding at an unprecedented rate, projected to reach 23.5 million by 2030. This is supported by a 38 percent increase in project-based hiring last year alone.
Nirmal Singh, CEO of Wheebox ETS and chief convenor of the report, emphasized this shift, stating, "The burgeoning parallel workforce is shape-shifting the future of work — and it is starting right here in India." He added that the next decade will cement India's leadership in global talent mobility through AI-integrated skilling.
When it comes to sectors poised for maximum hiring, the report identifies Technology, BFSI (Banking, Financial Services and Insurance), Manufacturing, Renewable Energy, and Healthcare as the leaders. Geographically, the states of Uttar Pradesh, Maharashtra, and Karnataka lead the nation in employability for the coming year.
India's Command in the Global AI Arena
Perhaps the most striking finding is India's formidable presence in the field of Artificial Intelligence. The country now commands an impressive 16 percent of the global AI talent pool. This footprint is expected to grow even larger, with projections indicating a force of 1.25 million AI professionals by 2027.
This combination of a vast, adaptable workforce and rapid technological adoption positions India as a preferred global source for skilled professionals. The findings from the 13th edition of the report, which surveyed over 100,000 candidates, reflect a nation successfully blending its demographic scale with digital sophistication to power the future of work worldwide.
