India's Fresher Hiring Rebounds to 73% in 2026, Skills Trump Degrees in New Job Market
India's Fresher Hiring Hits 73% in 2026, Skills Over Degrees

India's Fresher Hiring Rebounds to 73% in Early 2026, Marking a Modest Recovery

India's job market is reopening its doors to fresh graduates, but with a significant shift in criteria. According to the Career Outlook Report HY1 2026 released by TeamLease EdTech on February 18, nearly 73% of employers plan to hire freshers between January and June 2026. This figure represents a modest yet meaningful three-percentage-point increase over the previous half-year, signaling a gradual restoration of corporate confidence in entry-level talent.

The report, based on responses from 1,051 employers across various industries and cities collected between November 2025 and January 2026, indicates a recovery. However, the details reveal a more nuanced narrative where traditional hiring practices are being redefined.

Retail and Startups Drive the Hiring Surge

One sector stands out in reshaping the hiring landscape: retail. The report shows a remarkable 91% hiring intent in retail, a sharp 50-percentage-point jump from 41% in the same period last year. This growth reflects the rapid expansion of organized retail networks and dark-store logistics models that fuel India's burgeoning quick-commerce ecosystem.

Close behind are e-commerce and technology startups, with a 90% hiring intent, reinforcing the country's steady digital expansion. Manufacturing is also in active hiring mode, with 85% intent, suggesting renewed vigor in supply chains and production units. Other sectors that had slowed in recent years are making a comeback. Travel has climbed from 26% to 77% hiring intent, while Power and Energy has risen from 22% to 72%, pointing to a broader recovery across operational industries.

Bangalore Leads Metro Cities in Fresher Employment

The concentration of hiring impetus lies predominantly in major metropolitan areas. Bangalore tops the list with an 84% fresher hiring intent, driven by strong demand in Information Technology (81%), E-commerce and Technology Startups (90%), and Engineering and Infrastructure (61%). The city also leads in degree apprenticeship employment at 45%, indicating a growing integration of learning and work programs.

Mumbai follows with 72% hiring intent, led by retail (91%), FMCG (80%), and healthcare and pharmaceuticals (52%). Chennai records 63%, reinforcing the dominance of metro clusters in entry-level employment. These cities collectively represent a substantial portion of early-career opportunities in India, making geography a crucial factor for new graduates to consider.

Degrees Are No Longer Sufficient: Practical Skills Take Priority

The most profound change in the hiring landscape is not merely the increase in recruitment but the transformation in how companies evaluate candidates. Employers are increasingly focusing on practical skills, assessing freshers based on internships, live projects, portfolios, and proof-of-work rather than relying solely on academic scores. The market now favors candidates who can demonstrate real-world capability over those with mere qualifications.

Positions such as Business Intelligence Analyst, Cloud Operations Associate, and Digital Campaign Analyst are in high demand for freshers, requiring technical fluency and immediate deliverables from day one. In response to this shift, certifications in business analysis, artificial intelligence and machine learning, cloud computing, AI-enabled digital marketing, and project management are gaining relevance, as highlighted in the report's skill trends evaluation.

Cautious Optimism Defines the Hiring Rebound

The 73% hiring intent figure reflects a sense of optimism, but it is tempered with caution. Employers are willing to hire and even expand intake in previously sluggish sectors. However, they are not prepared to compromise on candidate readiness. The divide is increasingly between those who can showcase real-world competence and those who cannot.

For India's 2026 graduating cohort, the message is unequivocal: the opportunity window is wider than it was a year ago, but entry now depends less on what is printed on a certificate and more on what can be proven in practice. The hiring rebound is real, and so is the recalibration of expectations, marking a pivotal shift in India's employment landscape.