State of Hiring: September 2026
India hiring trends across sectors, skills, cities and functionsHiring demand rose 5.8% month on month in September 2026. After August’s dip, the market regained some footing, but it has not returned to the pace set earlier in the financial year.
Demand is recovering sector by sector, not across the board.
Hiring demand rose 5.8% month on month in September 2026. The quarter tells a more cautious story. Q2 FY26-27 (Jul to Sep 2026) came in 9.9% below Q1 (Apr to Jun 2026), a quarter lifted by an exceptional May.
On an index where April 2026 = 100, September sits at 97 and hiring was 1.6% higher year on year: broadly stable. Four things stand out this month.
Manufacturing and Pharma remain the backbone of demand
Both grew again in September. Manufacturing holds 26.7% of job postings and Pharma 22.4%.
See sector deep dives ↓IT has stopped falling but has not recovered
IT postings were flat month on month (+0.5%) after August’s sharp drop.
See the IT view ↓Consumer and service sectors led the monthly rebound
Hospitality (+17.4%), BFSI (+13.9%), Real Estate (+13.7%) and FMCG (+11.7%) all recorded strong growth.
See the sector map ↓The technology skill mix is broadening
AI/ML is still the most in-demand skill, but developer skills (backend, full stack and frontend) gained the most ground. GCCs edged up to 6.8% of technology hiring, from 6.2% in August.
See skills ↓The headline for talent leaders
Teams that read sector and skill signals early will be better placed than those planning on a single market-wide trend.
India hiring trends in September 2026 at a glance
Six indicators from this month’s report. Hover or focus the i on each one for context.
Hiring demand, month on month
ContextAfter August’s dip, the market regained some footing.+5.8%
September vs August 2026
Q2 vs Q1 FY26-27
ContextQ1 (Apr to Jun 2026) was lifted by an exceptional May.−9.9%
Jul to Sep vs Apr to Jun 2026
Hiring index
ContextIndex where April 2026 = 100.97Apr 2026 = 100
Marker shows the April baseline of 100
Hiring, year on year
ContextBroadly stable compared with September 2025.+1.6%
Broadly stable
GCC share of technology hiring
ContextUp from 6.2% in August, but well below the 16 to 17% seen in April and May.6.8%
6.2% in August
AI/ML share of skill mentions
ContextStill the most in-demand technology skill in IT postings.18.8%
Rank 1 in September and August
The big picture: a broad monthly rebound inside a softer quarter
September was the first month this financial year in which all major sectors grew together at a moderate rate. Yet the hiring trend in the majority of the major sectors were below their Q1 run rate, so the rebound is better read as stabilisation than a new upswing.
Sector momentum map
Month on month growth (up) against quarter on quarter change (across). Bubble size follows share of job postings.
The chart could not load. The full data is in the table below.
Share of job postings by sector
Each sector’s share of September job postings
The chart could not load. The full data is in the table below.
View data table
| Rank | Sector | Share of job postings | Share change vs Aug (pp) | MoM signal | QoQ change (Q2 vs Q1 FY26-27) |
|---|---|---|---|---|---|
| 1 | Manufacturing | 26.7% | -0.2 | Moderate growth | -14.9% (Sharp decline) |
| 2 | Pharma | 22.4% | -0.9 | Stable | +3.2% (Moderate growth) |
| 3 | IT | 16.2% | -0.8 | Stable | -14.2% (Sharp decline) |
| 4 | Travel | 7.8% | +0.2 | Moderate growth | -26.2% (Sharp decline) |
| 5 | FMCG | 6.4% | +0.3 | Strong growth | +3.8% (Moderate growth) |
| 6 | Retail | 6.2% | +0.2 | Moderate growth | +5.3% (Moderate growth) |
| 7 | Real Estate | 5.9% | +0.4 | Strong growth | +1.1% (Stable) |
| 8 | Hospitality | 5.1% | +0.5 | Strong growth | +5.8% (Moderate growth) |
| 9 | BFSI | 3.5% | +0.2 | Strong growth | -37.2% (Sharp decline) |
Month on month growth figures in the chart view come from the sector deep dives below.
Market signal
The recovery is real but shallow.
Workforce plans for Q3 should follow sector-level momentum rather than assume a market-wide lift.
Sector hiring trends: deep dives
Select a sector to see its numbers, what is driving them and the recommended TA action.
Manufacturing: still the largest engine
+4.8%
Month on month
26.7%
Share of job postings, rank 1
+16.7%
Year on year (strong growth)
103
Index, April 2026 = 100
Manufacturing grew 4.8% month on month and holds the top spot with 26.7%. Year on year it is up 16.7% (strong growth). The quarter-on-quarter decline is almost entirely the May spike washing out; September sits slightly above the April baseline (index 103).
Demand continues to span engineering, automation, quality, supply chain and digital manufacturing.
TA action
Keep engineering and plant-operations pipelines warm year-round rather than building them only when requisitions spike.
Pharma: the steadiest large sector
+1.8%
Month on month (stable)
+3.2%
Quarter on quarter
22.4%
Share of job postings, rank 2
−0.9
Share change vs Aug (pp)
Pharma was stable month on month (+1.8%) and grew 3.2% quarter on quarter, the only one of the three largest sectors to grow over the quarter.
TA action
Treat Pharma as a core market, with dedicated sourcing for quality, regulatory, R&D and plant roles.
IT: the fall has paused
+0.5%
Month on month (flat)
−21.4%
vs September 2025 (sharp decline)
73
Index, April 2026 = 100
−14.2%
Quarter on quarter
IT postings were flat month on month (+0.5%) after August’s sharp decline, and remained 21.4% below September 2025 (sharp decline). IT’s index is 73 against April, the lowest of any sector except BFSI. The volume reset looks like it is holding rather than deepening.
TA action
Fewer requisitions does not mean easier hiring. Specialist roles remain contested, so invest in assessment quality rather than sourcing volume.
BFSI: a rebound from a low base
+13.9%
Month on month (strong growth)
−37.2%
Quarter on quarter
3.5%
Share of job postings, rank 9
+0.2
Share change vs Aug (pp)
BFSI rose 13.9% month on month (strong growth), but the quarter was down 37.2%. The underlying need for risk, compliance, analytics and technology talent is unchanged; the current pause looks cyclical.
TA action
Use the quieter period to build relationships with passive specialist talent before demand returns.
Travel: seasonal momentum building
+9.1%
Month on month
−26.2%
Quarter on quarter
201
Index in May
78
Index in July
Travel grew 9.1% month on month and is up sharply on last year, consistent with the build-up to the festive and winter travel season. It remains the most volatile sector: its index swung from 201 in May to 78 in July.
TA action
Plan Travel hiring around seasonal surges, using flexible and contract models for customer-facing roles.
Consumer and real-economy sectors: quiet consistency
+17.4%
Hospitality, month on month
+13.7%
Real Estate, month on month
+11.7%
FMCG, month on month
+9.6%
Retail, month on month
FMCG (+11.7%), Retail (+9.6%), Real Estate (+13.7%) and Hospitality (+17.4%) all grew month on month, and all four grew quarter on quarter. Hospitality has reached its highest index this financial year (125), as has FMCG (121). This points to steady, consumption-led demand heading into the festive quarter.
TA action
Prepare for festive-season volume in sales, store, field and service roles now, while candidate availability is higher.
September index against the April baseline
Index, April 2026 = 100, for the market and the sectors where the report gives a September figure
The chart could not load. Overall market 97, Manufacturing 103, FMCG 121, Hospitality 125, IT 73 (April 2026 = 100).
Hospitality and FMCG are at their highest index this financial year. IT’s index is the lowest of any sector except BFSI.
Skills: AI/ML leads, developers surge
AI/ML remained the most in-demand technology skill in September, with 18.8% of skill mentions in IT postings. The bigger shift was among core developer skills: backend development rose from seventh to second, and frontend from eighth to sixth.
Shares below are of all skill mentions, since one posting can ask for several skills.
Share of skill mentions, September
Coloured by month on month signal
The chart could not load. The full data is in the table below.
View data table
| Rank, Sep | Skill | Share of skill mentions | Rank, Aug | MoM signal |
|---|---|---|---|---|
| 1 | AI / ML | 18.8% | 1 | Stable |
| 2 | Backend Development | 17.2% | 7 | Strong growth |
| 3 | Full Stack | 15.9% | 3 | Strong growth |
| 4 | ERP / EAI | 15.5% | 2 | Moderate growth |
| 5 | Cybersecurity | 10.7% | 4 | Moderate growth |
| 6 | Frontend Development | 7.7% | 8 | Strong growth |
| 7 | IoT | 7.2% | 5 | Moderate decline |
| 8 | Data Science / Analytics | 6.7% | 6 | Stable |
| 9 | Testing / QA | 0.3% | 9 | Strong growth (very small base) |
Rank movement, August to September
September rank, with places gained or lost since August
What it means
AI/ML has settled into a stable, high-demand plateau, which is what a core skill looks like. ERP/EAI and Cybersecurity kept growing steadily. The rise in backend, full stack and frontend demand suggests that, with IT volumes flat, employers are focusing on hands-on engineers who build and ship products rather than broad support roles. Standalone Testing/QA demand remains negligible, consistent with testing being absorbed into engineering roles.
Market signal
The emerging technology stack is no longer AI versus everything else.
Employers are pairing AI/ML and enterprise platform skills with the engineers who build and ship products: backend, full stack and frontend. Pure manual testing remains a marginal requirement.
What to watch
If development demand holds at this level in October, it points to project starts after a quiet first half, a lead indicator for broader IT recovery.
Employer segments: GCCs edge back up
IT Services continued to dominate technology hiring, but the mix tilted slightly towards GCCs and product companies.
Share of technology hiring by segment
August and September 2026
AugustIT Services 93.4%
SeptemberIT Services 90.2%
| Segment | Share of tech hiring, Sep | Share, Aug | Change (pp) |
|---|---|---|---|
| IT Services | 90.2% | 93.4% | -3.2 |
| GCCs | 6.8% | 6.2% | +0.6 |
| Product / Hybrid | 3.0% | 0.4% | +2.6 |
GCCs and product firms, up close
Share of technology hiring, August vs September
The chart could not load. GCCs 6.2% (Aug) to 6.8% (Sep); Product / Hybrid 0.4% to 3.0%.
GCC share remains well below the 16 to 17% seen in April and May, so September is a modest recovery rather than a return to peak. Product and hybrid firms recovered to roughly their June share after August’s low.
TA action
For GCC and product mandates, source from specialist communities and product-company alumni, not only IT Services talent pools.
Geography: IT contracts in the hubs, Non-IT grows
Location demand diverged by function in September. IT postings declined in every major hub, while Non-IT postings grew in every hub with a comparable August figure.
Share of IT and Non-IT postings by region
Each region’s share of IT postings and of Non-IT postings
The chart could not load. The full data is in the table below.
View data table
| Region | Share of IT postings | Share of Non-IT postings | Profile |
|---|---|---|---|
| Bengaluru | 30.00% | 14.80% | Deepest IT market; strongly IT-leaning |
| Delhi NCR | 15.90% | 24.70% | Non-IT-leaning; largest Non-IT market |
| Hyderabad | 15.10% | 7.80% | IT-leaning; strong GCC base |
| Pune | 12.50% | 7.70% | IT-leaning |
| Mumbai MMR | 10.70% | 23.60% | Strongly Non-IT-leaning; corporate and BFSI hub |
| Chennai | 10.00% | 7.50% | IT-leaning; engineering and manufacturing |
| Tier 2 & 3 cities (12 cities) | 5.80% | 13.90% | Non-IT-leaning; volume and operations roles |
- Bengaluru holds three in ten IT postings, nearly as much as Delhi NCR and Hyderabad combined, and declined least among the IT hubs.
- Delhi NCR and Mumbai together hold almost half (48.3%) of Non-IT postings. Delhi NCR is now the single largest Non-IT market.
- Tier 2/3 cities run at about 4.4 Non-IT postings for every IT posting, up from roughly 3.7 in August. Ahmedabad, Kolkata, Jaipur, Coimbatore and Kochi lead Non-IT demand; Kolkata, Ahmedabad, Coimbatore and Kochi lead IT.
Market signal
Bengaluru remains the deepest technology market and is holding share as the other hubs soften. For Non-IT and volume hiring, Delhi NCR, Mumbai and Tier 2/3 cities are where demand is building.
Business functions: business roles drive the rebound
Every non-technology function grew by more than 10% month on month, while IT was flat. Technology still accounts for half of postings across all functions, but its share is drifting lower as business functions pick up.
Share of function postings, September
Each function’s share of postings across all functions
The chart could not load. The full data is in the table below.
View data table
| Rank | Function | Share of function postings, Sep | MoM signal |
|---|---|---|---|
| 1 | IT | 50.2% | Stable (+0.5%) |
| 2 | Sales | 26.3% | Strong growth (+13.4%) |
| 3 | Finance | 10.8% | Strong growth (+12.5%) |
| 4 | Marketing | 6.7% | Strong growth (+12.3%) |
| 5 | HR | 6.0% | Strong growth (+16.6%) |
September in five signals
1
A broad monthly rebound.
All major sectors grew month on month, lifting overall postings 5.8%.
2
A softer quarter.
Q2 FY26-27 ran 9.9% below Q1, so the recovery is stabilisation, not a new upcycle.
3
Manufacturing and Pharma carry the market.
Together they hold a major share of the hiring landscape, with Pharma the most consistent sector of the year.
4
IT has found a floor.
Volumes were flat after August’s drop, while demand shifted towards hands-on developers alongside AI/ML.
5
Business functions are picking up.
Sales, Finance, Marketing and HR all grew by more than 10%, signalling preparation for festive-quarter growth.
TA insights for October to December
Five priorities for talent acquisition leaders. Select each one to read the detail.
Consumer, Pharma and service sectors are growing quarter on quarter; Manufacturing, IT and BFSI are not. Allocate recruiter capacity accordingly. Read: what is workforce planning?
Sales, retail, hospitality and travel demand is building. Lock in volume pipelines and flexible staffing before competition peaks in November. Read: Festive Hiring 2026 · Contract hire and payroll
Lower IT volumes are the new normal for now. Shift effort from sourcing more profiles to assessing skills more precisely, especially for backend, full stack and AI/ML roles. AI/ML hiring · Software engineering hiring
BFSI and GCC demand is below its peak but the underlying need has not gone. Passive-talent engagement now shortens time-to-hire when demand returns. Read: passive candidate sourcing · What is a talent pipeline?
Bengaluru for scale, Hyderabad and Pune for GCC and engineering, Tier 2 cities for distributed and cost-sensitive teams. GCC hiring services in India · RPO and managed services
The PeopleLogic view
Talent intelligence is becoming as important as talent acquisition.
September confirms what the last few months have been building towards: India’s hiring market no longer moves as one. Demand is recovering in some sectors, resetting in others, and reshaping within technology itself.
In a market like this, the advantage goes to organisations that see shifts early and hire precisely. Knowing which sectors are gaining momentum, which skills are rising and which cities hold the right talent matters as much as the ability to fill roles. Talent intelligence is becoming as important as talent acquisition.
Methodology
We prepared this report by undertaking extensive research and study of job listings, industry reports, surveys, and expert insights. Our goal was to uncover trends and patterns in the IT hiring landscape. Additionally, we explored hiring trends across key industries like Manufacturing, Retail, BFSI, travel & tourism, FMCG, Pharma, Real Estate and Hospitality. We conducted a comparative analysis on a month-on-month basis to gain insights into the constantly changing IT and Non-IT hiring environment.
About PeopleLogic Business Solutions
PeopleLogic Business Solutions, founded in 2008, boasts over an 18-year history of successfully delivering talent solutions to businesses spanning various sectors, including technology and non-technology industries. Over the years, it has grown to become one of the leading recruitment agencies. With a client base exceeding 300 and a talent network comprising over 2 million individuals, PeopleLogic has transformed into more than just a recruitment firm; it now functions as a strategic partner for its clients, offering valuable industry insights, trends, and data.
Some of its notable initiatives include publications like “State of Hiring” and “The People Weekly.”
Planning your Q3 hiring?
PeopleLogic helps organisations read sector and skill signals early and hire precisely, across technology and non-technology roles in India.
Source: PeopleLogic, State of Hiring Report, September 2026.
Figures are shares, percentage changes and index values as reported in this edition. Q1 FY26-27 is April to June 2026; Q2 FY26-27 is July to September 2026.
