New Delhi: After a year of muted single-digit growth, India's job market is showing clear signs of revival with hiring intent rising to 11 per cent for 2026, up from 9.75 per cent last year, supported by formalisation and regional expansion, according to a report.

The India Decoding Jobs 2026 Report, launched by digital recruitment platform Taggd in collaboration with the Confederation of Indian Industry (CII), said sectors such as BFSI, manufacturing and infrastructure are set to drive hiring momentum.

“This resurgence marks a shift from recovery to reinvention, powered by digital acceleration, formalisation and regional expansion,” said Devashish Sharma, Co-Founder and CEO of Taggd.

The report draws insights from over 300 talent leaders across 21 industries, providing a data-backed view of India's job and talent trends.

AI is transforming hiring processes, with 60 per cent of recruiters using it for resume screening and 45 per cent for interview automation. Employers are seeking candidates skilled in GenAI, cloud computing, cybersecurity, AI/ML, and sustainability.

Tier-II cities are projected to account for 32 per cent of jobs in 2026, while female hiring is expected at 30 per cent, steady from FY 2025 levels, the report added.