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Comparison Tool

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Overall score

Score by Indicator

in 2016 4.8
0 2.5 5 7.5 10

Key drivers

Education flexibility

The proportion of Indian’s holding degrees has not been growing. This may put pressure on expanding businesses seeking highly-skilled employees, with fewer graduates entering the labour market.

Labour market flexibility

India’s rank among countries featured in the Index for ease of doing business, in terms of labour market regulations, has declined.

Wage pressure in high-skill industries

Wage growth in lower-skilled industries has slowed, increasing the gap between high-skill industries and lower-skill ones.


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Ground View

Matthew Dickason, Global Managing Director, Hays Talent Solution

There have been two major policy developments in India recently; the demonetisation of two of the highest bank notes (INR 500 and INR 1,000) as well as the introduction of the Goods and Services Tax (GST)  – the slight decline in GDP could be attributed to these unprecedented changes, however, the Government remains optimistic that previous levels of growth will return. Alongside these changes, the Government has introduced initiatives such as Startup India, Digital India, Make in India, etc. which, if implemented well, could lead to an increase in job opportunities involving a wide range of skills. Amidst all these local changes the Agile Indian corporates have demonstrated maturity and have designed programmes to ensure a talent pipeline, low levels of attrition and even a marginally reduced salary budget.

Matthew Dickason, Global Managing Director, Hays Talent Solutions

Country Profile

India’s economy is growing quickly and businesses are able to benefit from favourable demographics, although significant labour market challenges remain.

India’s economy is forecast to grow by 7.2 per cent this year, down from 7.5 per cent in 2016. Still, this growth rate is faster than any other country in the Hay’s Global Skills Index. Growth in India has been healthy in part because of structural reforms and a return to normal monsoon rainfall.

A potential challenge going forward is low labour market participation. This is among the lowest it has been in a couple of decades. This could have lasting labour market effects because people who could be gaining experience are not, to the detriment of India’s talent pipeline.

Key skills in demand

  • Management professionals
  • Chartered accountants
  • Business analysts
  • Software engineers
  • Software application developers

News and Press Materials

Matthew Dickason, Global Managing Director, Hays Talent Solution