India's employability rate has increased to 56.35 per cent in 2026, according to the latest India Skills Report released on 11 November. The figure represents an improvement from 54.81 per cent recorded in the previous year's report.
The 2026 India Skills report captures the evolving dynamics of India's workforce and its readiness for the future. The findings signal a decisive shift toward a skill-first economy driven by artificial intelligence adoption, digital fluency, and global mobility. This year's edition positions India as a preferred global source of skilled talent, underscoring the nation's growing influence in the international labour market.
Overall employability in the country has shown consistent improvement, increasing from 46.2 per cent to 56.3 per cent between 2022 and 2026. The report reveals several key trends shaping India's workforce landscape, including significant growth in artificial intelligence expertise and gig economy participation.
India commands 16 per cent of global artificial intelligence talent, with projections indicating this will reach 1.25 million professionals by 2027. The country also shows rapid technology adoption, with over 90 per cent of employees using generative artificial intelligence tools, signalling accelerated digital integration across sectors.
The gig and freelance workforce in India is expected to hit 23.5 million by 2030, with project-based hiring increasing by 38 per cent last year. This growth reflects changing work patterns and the expansion of non-traditional employment arrangements.
"The burgeoning parallel workforce is shape shifting the future of work and it is starting right here from India," said Nirmal Singh, chief executive of Wheebox ETS and chief convenor of the India Skills Report. "The 2026 edition of the India Skills Report shows India standing at the intersection of scale, skill, and technology."
Singh added that the next decade will cement India's leadership in global talent mobility through modular, artificial intelligence-integrated skilling and internationally recognised certifications.
Technology, banking and financial services, manufacturing, renewable energy, and healthcare sectors lead hiring activity in the current market. Artificial intelligence, data analytics, cloud computing, and cybersecurity have emerged as the most sought-after skills among employers.
Uttar Pradesh, Maharashtra, and Karnataka have been identified as the top three states with the highest employability rates in 2026. The regional distribution of skilled talent indicates broader geographical participation in the country's workforce development.
The thirteenth edition of the report draws insights from over 100 thousand candidates through the Global Employability Test and responses across seven industries. The research focuses on themes including the future of work, gig workforce, freelancing, artificial intelligence-supplemented workforce, remote work and entrepreneurship.
The report results come at a time when India is increasingly positioning itself as a global talent hub, with growing international recognition of its skilled professionals across multiple sectors. The improving employability metrics suggest strengthening alignment between educational outcomes and industry requirements. |
