3 out of 4 Indian recruiters investing up to 70 pc hiring budgets in AI

IANS June 12, 2025 575 views

Indian recruiters are rapidly embracing AI and advanced technologies to transform their hiring processes. The shift from quantity to quality hiring is evident, with 75% of recruiters investing significantly in recruitment tech and AI tools. Data analytics and AI are enabling more precise candidate selection, with 69% of recruiters using these technologies to make informed decisions. The future of recruitment in India looks increasingly strategic, with 90% of recruiters anticipating a more advisory role in talent acquisition.

"Recruiters need tools that help them find skilled talent who can drive real business outcomes" - Ruchee Anand, LinkedIn Talent Solutions
3 out of 4 Indian recruiters investing up to 70 pc hiring budgets in AI
New Delhi, June 12: Three out of four (75 per cent) recruiters in India are investing up to 70 per cent of their hiring budgets in recruitment tech and AI tools, a new report showed on Thursday.

Key Points

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- 75% of recruiters allocating up to 70% budget for AI recruitment tools

Top three recruitment priorities are finding high-quality candidates with transferable skills (57 per cent), adopting smarter hiring tech (52 per cent), and proving the return on investment (ROI) of hiring investments to C-suite leaders (46 per cent), according to new research from LinkedIn.

Nearly three years into adopting AI at work, Indian recruiters are moving from ‘quick hiring’ to ‘quality hiring’.

However, challenges persist, from ensuring the right mix of soft and technical skills (64 per cent) to hiring fast (58 per cent) and finding candidates who are the right culture fit (54 per cent).

To meet these shifting demands, 69 per cent of Indian recruiters are now using data analytics to make informed hiring decisions and 63 per cent are using AI tools to improve hiring speed and accuracy, said the report.

“With the pressure to hire quickly, many recruiters cast the net wide but not deep, choosing volume over precision. But hiring today demands more. Recruiters need tools that help them find skilled talent who can drive real business outcomes,” said Ruchee Anand, Head of LinkedIn Talent Solutions in India.

The opportunity lies in using AI and data to shift from quick-fill roles to high-impact hires.

“Our latest research shows that over half (53 per cent) of recruiters in India already see stronger returns from platforms like LinkedIn, as they shift focus to skills like problem-solving, creativity, and leadership,” Anand added.

The quality of hire has become the most important measure of success, cited by 72 per cent of recruiters, followed by time to hire (60 per cent) and revenue per employee (59 per cent).

Recruiters say delays in the process result in losing top candidates to faster competitors (58 per cent), higher workload pressure on teams (64 per cent), and reduced productivity and morale (63 per cent).

The most common causes of delay are structural: lengthy approval processes (58 per cent) and indecision among hiring managers (56 per cent), the report found.

As AI adoption grows, 90 per cent percent of recruiters in India expect to step up as ‘strategic career advisors’ in their roles, and 92 per cent plan to use personalised content and data insights to engage candidates more effectively, it noted.

—IANS

Reader Comments

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Priya M.
This is exciting but also concerning. AI can help filter candidates faster, but will it understand Indian workplace dynamics? Our "jugaad" mentality and adaptability don't always show up on paper. Hope recruiters balance tech with human judgment. 🤔
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Rahul K.
Finally! The hiring process in India takes forever with multiple rounds. If AI can reduce this while maintaining quality, it's a win-win. But companies must ensure these tools don't favor IIT/IIM grads over skilled candidates from tier-2 colleges.
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Ananya S.
As someone who recently job-hunted, I appreciate the focus on transferable skills. Many of us have diverse experience that traditional CV screening misses. But will AI recognize unconventional career paths? The human element is still crucial for fair hiring.
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Vikram J.
Good move, but Indian recruiters need to be careful. Our job market is unique - regional languages, different education systems, and informal sector experience matter. AI trained on Western data might not capture these nuances. Desi solutions for desi problems needed!
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Sneha P.
The stat about 92% using personalized content is promising! Indian candidates often feel like just another application in the pile. If tech can make the process more human while being efficient, that's real progress. Hope it works well for both freshers and experienced professionals.
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Karan D.
While AI adoption is impressive, the real issue is the "indecision among hiring managers" mentioned here. No tech can fix that! Indian companies need to streamline internal processes first. Tech is just a tool - garbage in, garbage out as they say.

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