India's employability landscape has put a spotlight on Uttar Pradesh as it emerged as the most employable state in the India Skills Report 2026, followed by Maharashtra and Karnataka. As per the report, India's employability has risen from 54.81 per cent in 2025 to 56.35 per cent in 2026.
The India Skills Report 2026, published by ETS in partnership with the Confederation of Indian Industry (CII), the All India Council for Technical Education (AICTE), and others, has drawn insights from over one lakh candidates who participated in the Global Employability Test (GET) and responses from more than 1000 organisations across seven industries.
This year's report explores how India's youth, educators, and employers are adapting to new models of work driven by technology, flexibility, and innovation, the team noted. Based on the key findings of the 2026 report, the gig workforce is expected to reach 23.5 million by 2030.
The report highlighted that Tier-2 and Tier-3 cities are emerging as major workforce contributors. Check the list of top 10 states with highest employability below.
- Uttar Pradesh
- Maharashtra
- Karnataka
- Kerala
- Punjab
- Madhya Pradesh
- West Bengal
- Rajasthan
- Arunachal Pradesh
- Jammu and Kashmir
According to the report, Uttar Pradesh has taken the top position in state-wise employability rankings. Meanwhile, Maharashtra and Karnataka were placed next.
The report stated that India now holds 16 per cent of global AI talent, with over 6,00,000 AI professionals. The report also mentioned that technology, Banking, Financial Services, and Insurance (BFSI), manufacturing, renewable energy, and healthcare remain top hiring engines.