The hiring landscape in India faces significant trust issues, as job seekers express a need for greater transparency and effective communication during recruitment. According to the first Hiring Confidence Index commissioned by Indeed, India scored 58 out of 100. This index evaluates various factors that influence job seekers’ confidence throughout the hiring process. The research, conducted between May and June 2026, involved a survey of 1,073 job seekers and 735 employers across the country, focusing on critical aspects such as hiring communication, candidate experience, and the use of artificial intelligence (AI).

Job seekers do not anticipate a positive outcome for every application; however, they seek clarity regarding their status during the selection process. The report indicates that clear role expectations (27%), transparent timelines for hiring (23%), and meaningful interactions with recruiters (19%) are essential for a positive experience in recruitment.

A substantial portion of job seekers, nearly 29 per cent, cited a lack of response following applications as their primary frustration. This concern was closely followed by lengthy delays between interview stages (26%) and insufficient feedback after interviews (20%). Furthermore, job seekers have clarified several factors that could enhance their confidence in the hiring process.

Shifting Preferences Towards Skills-Based Hiring

The report reveals a notable change in candidates’ preferences regarding their evaluation methods. More than half (54%) of respondents expressed that assessments based on skills are a more equitable way to gauge candidates than traditional resume evaluations, which only 15% preferred. This shift in preference appears to be particularly pronounced among younger professionals.

Among Generation Z candidates, nearly 63 per cent favour skills-based tests and task-oriented assessments over traditional methods. Additionally, around 65 per cent of professionals with up to two years of experience expressed increased confidence in skills-first hiring practices, contrasting sharply with 35 per cent of those with over ten years of experience who felt the same way.

Despite this growing interest in skills-based hiring, employers encounter obstacles when attempting to implement these changes. Approximately 40 per cent of employers identified a heavy reliance on resumes as a significant barrier to shifting towards skills-based hiring. Furthermore, 32 per cent highlighted difficulties in consistently assessing skills, while 28 per cent mentioned the time and resources needed for conducting skills assessments.

Challenges in Communication for Employers

The report also highlights that employers struggle to maintain timely communication with potential candidates. About 33 per cent of employers indicated that delays in receiving feedback from hiring managers were the primary challenge to effective communication. An additional 27 per cent pointed to high application volumes, while 20 per cent attributed the issues to shifting business priorities.

Meanwhile, the use of AI in hiring practices appears to be gaining traction among employers. Nearly 58 per cent acknowledged that AI has enhanced hiring efficiency. However, the candidates expressed a desire for greater transparency regarding AI’s role in the hiring process. Specifically, 42 per cent indicated they would be more comfortable with AI-driven hiring if human oversight were involved in final decisions, while 38 per cent requested clearer explanations of how AI evaluates candidates.

The findings suggest that to enhance candidate confidence, employers need to improve their communication strategies, establish transparent timelines, incorporate skills-based assessments, and ensure human oversight in AI-assisted recruitment processes.

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