As organizations in India navigate the evolving landscape of artificial intelligence (AI), digital technologies, and data, a recent report highlights that 45% of them face challenges in acquiring AI, digital, and data skills. Additionally, 54% of these organizations exhibit only moderate to low urgency in investing in AI initiatives. The ‘SHRM India Skill Intelligence Report 2026’ indicates that 41% of organizations also lack sufficient Green and ESG capabilities, with only a small fraction being classified as advanced in ESG talent capability.
The report further emphasizes the learning investment trends, revealing that nearly 60% of Learning and Development (L&D) budgets in these organizations are allocated to digital self-paced content and classroom training. When it comes to gig workforce models, the primary hindrance is not regulatory issues but rather a lack of trust, with 53% of organizations citing skill quality and career continuity as major adoption barriers, as opposed to just 13% attributing challenges to regulatory complexities.
In the midst of this workforce transformation journey in India, the report underscores the importance of organizations enhancing their AI, digital transformation, and sustainability investments to remain competitive. Achal Khanna, CEO of SHRM APAC and MENA, emphasizes the critical role of building future-ready skills at scale as the key differentiator for organizations in this rapidly changing landscape. Globally, leaders are grappling with similar challenges of preparing their workforce for the evolving nature of work.
Johnny C Taylor, Jr., President and CEO of SHRM, highlights India’s unique position with its youthful workforce and dynamic digital ecosystem, stating that the country has the potential to establish itself as a leader in cultivating resilient and future-ready talent. Despite a high awareness of the skills gap, the report notes that organizations still lack the necessary capabilities to address this challenge effectively on a large scale.
