India hiring momentum expected to strengthen in H2 FY27, net employment change may rise to 5.4%: TeamLease

India’s hiring momentum is expected to strengthen in the second half of FY27, driven by workforce expansion in e-commerce and technology startups, travel and hospitality, retail, automotive and electric vehicle infrastructure, with net employment change projected to rise to 5.4 per cent, according to TeamLease Services.

India’s hiring momentum is expected to strengthen in the second half of FY27, driven by workforce expansion in e-commerce and technology startups, travel and hospitality, retail, automotive and electric vehicle infrastructure, with net employment change projected to rise to 5.4 per cent, according to TeamLease Services. The report, based on a survey of 1,239 employers across 23 industries and 20 cities conducted during July-August 2026, showed that 60 per cent of employers plan to increase their workforce in HY2 FY27, while 24 per cent expect to reduce headcount and 16 per cent anticipate no change.

Hiring growth is expected to be led by e-commerce and technology startups, travel and hospitality, retail, automotive and electric vehicle infrastructure. E-commerce and tech startups recorded the highest projected net employment change at 12.6 per cent, followed by travel and hospitality at 12.3 per cent, retail at 10.3 per cent and automotive at 10.1 per cent, the report showed. The report also pointed to continued hiring activity across banking, logistics, fintech, construction and real estate, information technology, manufacturing, engineering and infrastructure, and power and energy. Banking is projected to record a 6.6 per cent net employment change, while IT is at 6.4 per cent and manufacturing, engineering and infrastructure at 6.3 per cent.

By function, sales and marketing roles are expected to see the strongest demand, with 64 per cent of employers indicating plans to grow headcount, followed by IT at 50 per cent and finance at 48 per cent. Large enterprises showed the highest hiring confidence, with 66 per cent planning to expand their workforce. Bengaluru is the leading target for workforce expansion, cited by 68 per cent of respondents, followed by Hyderabad at 61 per cent, Pune at 60 per cent, Mumbai at 55 per cent and Delhi at 53 per cent.

The report noted that digital literacy is expected to remain a key hiring requirement, with 59 per cent of employers prioritising it, followed by communication skills at 51 per cent and teamwork and collaboration at 48 per cent. At the same time, TeamLease identified labour-code compliance costs and the gap between broad and deep AI adoption as key workforce considerations for HY2 FY27. (ANI)