Corporate India’s hiring plans for October-December 2025 show a modest slowdown as employers increasingly balance permanent, temporary, and consultant talent to remain agile in a dynamic business environment. This insight comes from the latest ManpowerGroup Employment Outlook Survey (MEOS), which reflects current hiring expectations across the country.
According to the survey, the India Net Employment Outlook (NEO) stands at 40%, marking a 7% decrease from the previous quarter but an 18% increase compared to the same period last year. The NEO metric is calculated by subtracting the percentage of employers expecting staff reductions from those planning to hire. Responses were collected from 3,149 employers across India during July 2025.
Despite this slight dip, India remains highly optimistic globally. With a 40% outlook, the country ranks second worldwide after the UAE (45%), followed by Brazil (36%), Costa Rica (35%), and China (34%).
Economic Context and Hiring Trends
India’s labour market remains robust amid a mixed economic landscape. A projected 6.5% GDP growth, driven largely by the services sector, is tempered by cautious foreign investment sentiment. As a result, many companies are limiting new hires and carefully managing wage pressures.
Sectors driving employment growth include Energy & Utilities, Financials & Real Estate, and Technology, highlighting the country’s structural momentum. Sandeep Gulati, Managing Director of ManpowerGroup India and Middle East, emphasizes, “The fundamentals of our labour market remain strong, even as hiring expectations ease slightly this quarter.”
Workforce Flexibility Emerges as a Key Strategy
A notable trend is the rising focus on workforce flexibility. Employers are strategically balancing permanent staff with temporary and consultant hires to adapt to technological changes, wage pressures, and evolving employee expectations. Gulati notes that flexible workforce strategies are essential for sustaining long-term competitiveness in India.
Regional Hiring Insights
Hiring outlook varies across regions:
- North India: 45% (slight decline of 4%)
- West India: 41% (stable)
- South India: 39% (increase of 5%)
- East India: 32% (significant decline of 33%)
These variations reflect differing regional economic conditions and talent availability.
Talent Challenges and Retention Strategies
Employers continue to face significant talent acquisition challenges:
- 46% cite attracting qualified candidates as their main obstacle.
- 42% identify work-life balance as the most effective retention strategy.
- 36% hire specifically to keep pace with technological changes.
- 38% of companies reducing staff attribute cuts primarily to automation.
Sectors such as Consumer Goods, Communication Services, Healthcare & Life Sciences, and IT emphasize work-life balance as a critical factor in retaining top talent.
Looking Ahead
As India moves into Q4 2025, the labour market remains cautiously optimistic. While hiring growth has slowed, flexible workforce strategies, sectoral expansion, and targeted retention initiatives are helping companies navigate a dynamic business environment. Employers who embrace adaptability and technology-driven talent solutions are likely to gain a competitive edge.
