India’s job market ended 2025 on a strong footing as Artificial Intelligence (AI) powered a broad-based hiring revival across sectors and cities. Overall hiring rose 5% month-on-month and 15% year-on-year in December, marking a shift from cautious recovery to sustained expansion, according to the foundit Insights Tracker by talent platform foundit (formerly Monster APAC & ME).
AI emerged as the defining growth engine of the year, with 2.9 lakh AI-linked roles posted in 2025. The momentum is set to strengthen further, with AI hiring projected to rise 32% in 2026 to nearly 3.8 lakh roles. “2025 was both a year of expansion and discipline in hiring,” said Tarun Sharma, Chief Product & Technology Officer, foundit.
What did Tarun Sharma say?
“AI is no longer experimental — it’s central to workforce planning. In 2026, hiring will be increasingly skills-led, mid-career-focused, and spread across Tier 1 and emerging Tier 2 talent hubs.”
The IT–Software and Services sector accounted for the largest share of AI jobs at 37%, followed by BFSI (15.8%) and Manufacturing (6%). BFSI registered the fastest year-on-year growth at 41%, ahead of Healthcare and Pharmaceuticals (38%), Retail (31%) and Logistics (30%).
Demand for Generative AI and large language model (LLM) skills soared nearly 60%, while Python featured in three out of four AI postings, reaffirming its dominance as the core programming language. Machine Learning roles made up 34% of all AI jobs, followed by Generative AI/LLMs at 22% and Data Science at 18%.
MNCs account for nearly half of AI jobs
Large enterprises and multinationals accounted for nearly half (49%) of AI jobs, driven by integration of Generative AI, MLOps and Centres of Excellence. Mid-sized companies contributed 28%, hiring aggressively for applied AI and automation talent, while startups, including AI-native and SaaS ventures, made up 23%, focusing on niche, high-impact roles.
This distribution highlights how enterprise transformation continues to anchor AI adoption even as smaller firms compete for specialised talent.
Bengaluru led AI hiring with a 26% share and 32% growth, followed by Delhi NCR (18%) and Hyderabad (12%), the fastest-growing Tier 1 city at 35%. Among Tier 2 hubs, Jaipur (40%), Indore (38%) and Mysuru (36%) recorded the strongest gains, signalling the spread of AI opportunities beyond metros.
Hiring demand was strongest in the mid-level and senior-mid experience bands (4–10 years), which grew over 30% year-on-year, underscoring the demand for hands-on project leaders and AI specialists. Entry-level hiring remained stable, while top-leadership roles stayed selective.
According to the talent platform, the convergence of core industries and AI adoption will continue to define India’s talent landscape in 2026. The platform expects hiring to become increasingly skills-driven, with upskilling and reskilling emerging as key priorities as AI moves from experimentation to enterprise-scale deployment.