India’s shift towards skills-first hiring remains incomplete, with only 21% of companies saying they have fully moved away from using academic scores during campus recruitment, according to a new report by Careernet’s AI-powered recruitment platform HirePro. The study also highlights a widening disconnect between students’ perception of workplace readiness and employers’ expectations, suggesting that graduates and recruiters continue to operate with different definitions of employability.The report, The State of College Hiring in India 2026, surveyed more than 10,000 students, over 80 companies, including more than 100 college talent recruiters, and placement officers from over 100 colleges. It found that while skills-based recruitment is widely discussed, academic performance continues to influence hiring decisions at many organisations.
Day-one job readiness remains a concern
One of the report’s key findings is the gap between how prepared students believe they are and how employers assess them. While 68% of students said they considered themselves job-ready from the first day of employment, only 9% of companies shared that view.According to the report, 51% of employers said fresh graduates require at least a month of structured training before they can contribute meaningfully at work, while only 5% reported finding no significant skill gaps among new recruits.Colleges and companies differ on skills-first hiringThe report also points to a mismatch between colleges’ understanding of hiring trends and employers’ actual practices. While 96% of colleges believe that most companies have already adopted a skills-first recruitment approach, only 21% of employers said they have completely removed academic scores from the hiring process. Another 51% acknowledged that CGPA continues to influence final recruitment decisions.Speaking about the findings, S Pasupathi, Chief Operating Officer at HirePro, said, as quoted by The Economic Times, that organisations are committed to hiring based on merit and potential, but changing long-established recruitment systems is a gradual process.“Every organisation we work with genuinely wants to hire on merit and potential, not just pedigree. What is hard is that intent alone does not rebuild a hiring system overnight,” Pasupathi said, as quoted by The Economic Times.He added that redesigning evaluation systems requires sustained effort and that organisations regularly reviewing their assessment methods are better positioned to build stronger talent pipelines.Practical skills and workplace mindset top employer prioritiesBeyond technical knowledge, employers identified several areas where graduates continue to fall short. The report found that 42% of companies believe fresh hires lack applied technical skills, including coding proficiency and engineering tools required in workplace settings.Another 37% cited a lack of ownership and proactive behaviour among graduates, while an equal proportion pointed to weaknesses in structured problem-solving and critical thinking. The findings suggest that employers are increasingly placing equal emphasis on technical capability and workplace behaviour.Students and recruiters prioritise different skillsThe study also found that students often overestimate the importance of coding and communication skills while underestimating employers’ focus on domain knowledge and learning agility. However, both groups agreed that problem-solving ability, aptitude and reasoning, along with familiarity with AI and emerging technologies, are becoming increasingly important in campus hiring.Another notable finding relates to workplace culture. Nearly 58% of employers ranked cultural fit and personality among their top hiring priorities, whereas only 27% of students believed these factors significantly influenced recruitment decisions.The report also observed an emerging shift in employer preferences. Companies seeking candidates with an entrepreneurial mindset have increased from 5% to 14% over the past two years, while the share of organisations looking primarily for candidates interested in simply securing a job has declined from 60% to 44%, indicating a growing preference for graduates who demonstrate initiative, adaptability and ownership.
