NEW DELHI: The job market in India is projected to grow by 9% in 2025, with IT, retail, telecommunications and Banking, Financial Services, and Insurance (BFSI) sectors being the primary drivers of this growth, suggest the data released by employment solutions platform Foundit (formerly Monster APAC & ME).
With a 10% growth in 2024 and 3% MoM growth in November, the report indicates that job hirings are set to retain momentum and this surge in recruitment will be powered by technological advancements, policy reforms, and an evolving workforce landscape, paving the way for a future-ready economy.
Emerging technologies and evolving business priorities will shape India’s job market in 2025. Innovations such as edge computing, quantum applications, and cybersecurity advancements are all set to transform manufacturing, healthcare, and IT industries.
Emerging trends
As per the Foundit report, the emerging trends and skills in focus will be as follows
- Generative AI and AR/VR: These technologies are expected to create roles in education, healthcare, and immersive content creation.
- Sustainability: Demand for green technologies and energy-efficient solutions will rise, particularly in manufacturing and real estate.
- Quantum Computing: Roles for cryptography experts and quantum developers will emerge as industries adopt advanced computational capabilities.
Meanwhile, the rise of retail media networks and AI-driven workforce analytics will reshape talent needs in e-commerce, HR and digital services. Organisations will look for professionals skilled in digital marketing, ad management, and HR analytics.
“As we enter 2025, India’s job market looks set to broaden its horizons, with a projected 9% growth in hiring. Companies are not only looking for seasoned professionals but also broadening their search beyond established hubs. We believe this approach will create a healthier, more diverse environment— allowing businesses to access new talent pools and build a workforce aligned with future needs,” media reports quoted Foundit vice-president (marketing) Anupama Bhimrajka as saying.
Key industries
- The IT sector is expected to drive 15% growth in hiring in 2025, driven by the expansion of Global Capability Centres (GCCs) and multi-cloud adoption.
- The retail sector is predicted to clock a 12% growth in hiring, reflecting rising demand for traditional and tech-enabled roles.
- The telecom sector’s 11% projected growth is driven by advancements in AI, 5G, and IoT, with demand for skills in edge computing, SDN (software-defined networking), NFV (network function virtualisation) and cybersecurity.
- The BFSI sector is set to see a growth in hiring of 10%, while manufacturing sector is set to have a hiring growth of 7%
Job havens
In 2024, Coimbatore (27%) and Jaipur (22%) led the regional growth, reflecting the diversification of hiring across geographies. For 2025, Bengaluru is expected to lead city-wise growth with a 10% projection. Its robust IT ecosystem, coupled with advancements in AI, 5G, and cloud technologies, continues to drive hiring. Demand will remain strong across tech startups, global IT firms, and digital services.
Coimbatore is set to emerge with 9% growth, reflecting its evolution as an industrial and IT hub. The city is seeing rising demand for skilled professionals in manufacturing, engineering, and IT-enabled services, supported by its expanding business ecosystem.
Hyderabad’s diversified industries, particularly IT and pharmaceuticals, are projected to ensure 8% growth. Investments in tech innovation, AI research, and life sciences will drive demand for highly skilled professionals.
Chennai’s 6% projected growth reflects increasing hiring in automotive R&D, cloud services, and infrastructure development.
As India steps into 2025, several factors will influence its job market.
- Skill India 2.0: Government initiatives will open up opportunities in tier-2 and tier-3 cities.
- Sustainability: Companies are aligning their hiring with Environmental, Social and Governance (ESG) goals.
- Diversity and Inclusion: Organisations will prioritize equitable and inclusive workplaces.
The Indian job market in 2025 is poised for a transformative phase, blending technological innovation with sustainable growth. Industries, cities, and functions across the country will experience dynamic changes, shaping a workforce ready to compete on the global stage.
With a clear focus on emerging skills and inclusive practices, India’s job market is not only growing but evolving into a model for the future, the report added.