India’s White-Collar Job Market Poised For Growth In 2025; Employers Show Confidence In Hiring Surge

India’s white-collar job market is set to experience a significant upswing in the first half of 2025, with 96% of employers expressing confidence in increased hiring activity.

This marks a notable rise from 92% in 2024, indicating stronger demand for talent across various sectors, according to a new Hiring Outlook survey by Naukri.com. The biannual survey, which collected insights from over 1,200 employers, suggests that businesses are gearing up for robust hiring, driven by renewed optimism in the economy.

The survey also reveals a notable shift in employers’ hiring strategies. Among those who are optimistic about the hiring outlook, 58% are employing a two-pronged approach, simultaneously creating new positions and filling existing roles.

This marks an increase from 48% last year. In addition, 18% of employers are focusing solely on new job creation, while 20% are prioritizing replacement hiring.

Layoffs Decline As Hiring Grows

Layoffs expect to continue their downward trend, with only 2% of employers predicting workforce reductions, down from 3% in 2024.

This signals a shift towards a more stable employment environment, with organizations increasingly focused on expanding their teams rather than downsizing.

IT roles expect to dominate hiring in 2025, with 37% of employers prioritizing these positions—a significant increase from 24% in 2024.

However, the industry faces a challenge with high attrition, as 42% of employers anticipate a high turnover in IT roles. This trend underscores the growing competition for skilled tech talent.

Demand For Mid-Level Talent And Higher Salaries

Professionals with 3-8 years of experience set to be the most sought-after talent pool, accounting for 58% of hiring activity, up from 53% last year. This demand reflects companies’ need for employees who offer both fresh perspectives and hands-on expertise.

To attract and retain these skill professionals, employers prepare to offer substantial salary hikes. More than half (54%) of employers plan to offer double-digit salary increases, while 39% expect to provide increments in the 5-10% range.

Also Read: India’s Economic Growth Outlook Stable Despite Global Uncertainties

Fresh graduates can also look forward to a positive hiring environment, with 34% of employers confirming that campus hiring will continue as planned—an increase from 30% in 2024.

Pawan Goyal, Chief Business Officer at Naukri.com, emphasized that the strong hiring outlook is driven by substantial salary hikes and a renewed focus on both new job creation and replacement hiring. He noted that while attrition remains a concern, particularly in early career brackets, planned salary increases and stable campus hiring trends indicate that employers are prioritizing talent retention and long-term workforce planning.

Challenges Ahead: Talent Shortages And Budget Constraints

Despite the positive hiring sentiment, businesses still face challenges in the labor market. A quarter of employers report struggling with talent shortages, while 27% cite budget constraints as the biggest obstacle to hiring.

Additionally, 22% of employers find it difficult to match candidates to the increasingly specific skill requirements needed for various roles.

Employee movement expect to accelerate in 2025, as more professionals are likely to switch jobs. The proportion of employers expecting attrition rates below 5% has dropped from 23% last year to 17% this year. Meanwhile, 34% of employers predict turnover in the 5-10% range.

Mid-level professionals with 3-5 years of experience are the most likely job switchers, comprising 33% of potential churn, followed by those with 1-3 years of experience at 26%.

Conclusion: A Promising Outlook For Job Seekers

India’s white-collar job market is set for growth, with employers across industries showing optimism and confidence in hiring in 2025. With higher salaries, expanded job creation, and a focus on retention, the outlook for talent is strong.

However, challenges related to talent shortages, budget constraints, and skill mismatches remain. As employers adjust their strategies, the job market expect to evolve, offering ample opportunities for skilled professionals.