India’s white-collar job market is poised for significant growth in the first half of 2025, with 96% of employers anticipating increased hiring activity, according to a Hiring Outlook survey by recruitment platform Naukri.com.
Hiring Trends and Key Sectors
IT roles are expected to drive the hiring boom, with 37% of employers prioritizing these positions—a sharp rise from 24% in 2024. Demand for professionals with 3-8 years of experience is also growing, comprising 58% of hiring activity, up from 53% last year.
Layoffs are projected to decline further, with only 2% of employers foreseeing workforce reductions, down from 3% last year. Additionally, 18% of companies plan to focus solely on new job creation, while 20% prioritise replacement hiring.
Compensation and Talent Retention
To attract and retain talent, companies are offering substantial salary hikes. Over half (54%) of employers plan to provide double-digit salary increases, while 39% anticipate increments in the 5-10% range. Campus hiring remains steady, with 34% of employers confirming continued recruitment of fresh graduates, up from 30% last year.
Despite these positive hiring trends, talent retention remains a challenge. High attrition is expected in IT roles, with 42% of employers predicting significant turnover. Mid-level professionals with 3-5 years of experience are the most likely job switchers (33%), followed by those with 1-3 years of experience (26%).
Challenges in Hiring
While the hiring outlook is strong, companies face key obstacles. A quarter of employers report talent shortages, 27% cite budget constraints, and 22% struggle to match candidates with increasingly specific skill requirements.
Employee movement is expected to accelerate in 2025. The proportion of employers expecting attrition below 5% has dropped from 23% last year to 17% this year, while 34% predict turnover in the 5-10% range.
Pawan Goyal, Chief Business Officer at Naukri.com, emphasised that the positive hiring outlook is driven by competitive salary increments and a renewed focus on job creation and retention. “While attrition remains a concern, planned salary hikes and stable campus hiring indicate that companies are prioritising long-term workforce stability,” he said.
Overall, India’s job market is set for a robust hiring phase in early 2025, fueled by demand for skilled professionals, competitive compensation strategies, and a focus on talent retention. – economictimes/indiatimes.com
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