India’s hiring engine is revving up again, but recruiters say finding the right candidates is becoming increasingly difficult. New research by LinkedIn reveals that nearly three out of four recruiters (74%) in India are struggling to find qualified talent, even as overall hiring activity runs 40% higher than pre-pandemic levels.
The paradox stems from a “volume–quality mismatch.” Recruiters report being swamped with applications that look impressive but often lack the skills employers truly need.
Over half (53%) attribute the growing challenge to a surge in AI-generated résumés, while 47% blame continued shortages of in-demand skills. Nearly half (48%) say the process of separating genuine applications from low-quality or misleading ones is slowing hiring down.
Crowding out of the labour market
The labour market has become notably more crowded. According to LinkedIn data, the number of applicants per open role has more than doubled since 2022. While 72% of professionals are actively looking for jobs in 2026, 85% admit they feel underprepared to navigate the search.
To cope, recruiters are increasingly turning to artificial intelligence to improve hiring speed and accuracy. Among those already using AI, 71% say it helps them identify overlooked candidates, 80% say it offers better insights into candidate skills, and 76% credit it with faster hiring cycles.
Adoption is expected to climb further: eight in ten Indian recruiters plan to expand AI use across sourcing, evaluation and candidate screening. Most also plan to deploy AI in pre-screening interviews, expecting it to accelerate hiring (83%), yield deeper candidate insights (82%), and make recruiter–candidate conversations more meaningful.
What did Ruchee Anand say?
Ruchee Anand, APAC Vice President, LinkedIn Talent Solutions, said the hiring process is undergoing a fundamental shift. “We’re seeing hiring move from pedigree and past titles to demonstrated skills and capability,” she said. “This transition is hard to execute at scale without AI. Used responsibly, AI can help recruiters detect the right skills earlier and create a fairer, more consistent evaluation process.”
With AI’s growing role, transparency is becoming a key expectation. Half of recruiters now say they face pressure from candidates to explain how AI tools influence shortlisting and hiring decisions.
To help recruiters strike a balance between speed and quality, LinkedIn is rolling out tools such as Salary & Notice Period Filters, Hiring Assistant, and Hiring Pro, which early adopters say are helping them save hours and identify quality candidates more effectively.