India recorded the strongest hiring outlook among 42 countries for the second quarter of 2026, with employers reporting a Net Employment Outlook of 68%, according to the ManpowerGroup Employment Outlook Survey. The reading placed India ahead of the United Arab Emirates at 60% and Brazil at 55%.
The survey drew on interviews with more than 41,700 employers across 42 countries, collected between 1 January and 3 February 2026. India’s figure of 68% marked a rise of 17 points over the previous quarter and 24 points year on year, its strongest showing since ManpowerGroup began tracking the India data in 2008. The global Net Employment Outlook stood at 31%, the highest since the third quarter of 2022.
The India survey covered over 3,000 employers. Alongside the strong hiring intent, 82% of organisations reported difficulty finding the skills they needed, pointing to a widening capability gap running parallel to the demand.
“The India data from the Q2 MEOS and 2026 Global Talent Shortage Report presents a dual reality. Employment intent remains strong (NEO 68%), reflecting growing employer confidence, while talent scarcity continues to intensify, with 82% of organisations reporting difficulty finding the skills they need. This underscores that today’s hiring momentum is being shaped as much by capability gaps as by business expansion,” said Sandeep Gulati, Managing Director, ManpowerGroup India and Middle East.
By sector, Information and Technology led globally with a 41% outlook, followed by Finance and Insurance at 35%. Larger organisations, particularly those with 250 to 999 employees, reported the most robust plans at 37%. ManpowerGroup attributed India’s momentum to GST reforms, resilient domestic demand, and improving trade prospects, including India-EU negotiations.
ManpowerGroup noted that the Q2 data was gathered before geopolitical developments across the Middle East in late February, so the findings may not capture their impact. The firm’s subsequent Q3 2026 survey showed India retaining the top global position at a moderated 48%, which Gulati described as a more selective hiring approach rather than a decline in confidence.
Whether India sustains its lead through the second half of the year will depend on how the talent shortage and AI adoption reshape hiring decisions across sectors.
