The Fading Glow of the Degree
The traditional path was simple: get a degree from a reputable college, and a good job would follow. For generations, this was the undisputed formula for professional success in India. However, this model is facing a significant challenge. According to
the India Skills Report 2026, only about 56% of graduates are considered employable. This highlights a major disconnect between academic curricula and the actual needs of the modern workplace. Many university courses have not kept pace with the rapid technological advancements and evolving business models, leaving graduates unprepared for the demands of their first job. As a result, companies are finding that a degree alone no longer guarantees a candidate has the required competencies to perform from day one.
Why Skills-First Hiring Is on the Rise
The shift towards skills-based hiring is driven by practical business needs. Industries are transforming at an unprecedented rate, fuelled by AI, automation, and digitalisation. Employers need a workforce that is agile, adaptable, and capable of solving real-world problems immediately, without extensive on-the-job training. Several reports indicate that a vast majority of Indian employers—some surveys suggest as high as 80% to 89%—now prefer to hire based on skills and practical experience rather than educational qualifications alone. Companies like TCS, IBM, and Google are increasingly using coding tests, portfolio reviews, and practical assessments to identify top talent. This approach not only helps find job-ready candidates but also broadens the talent pool, promoting a more equitable hiring process where ability, not just pedigree, is what counts.
What Counts as 'Practical Experience'?
When employers talk about practical experience, they aren't just referring to full-time jobs. The definition is broad and encompasses any activity that allows you to apply and demonstrate your skills. Internships and apprenticeships are two of the most valuable forms. Internships offer a chance to explore an industry, while apprenticeships provide structured, long-term training for a specific trade or profession. Beyond these formal programmes, other valuable experiences include freelance projects, personal projects (like building an app or a website), online certifications in in-demand tools, and even relevant volunteer work. The key is to build a portfolio that showcases what you can do, providing concrete evidence of your abilities to potential employers.
How to Adapt and Succeed
For students and job seekers, navigating this new landscape requires a proactive approach. The focus must shift from simply passing exams to actively building a skill set. This means seeking out internships, taking on freelance gigs, and contributing to open-source projects. In technical fields like IT, employers are looking for specific, high-demand skills in AI, cybersecurity, and data analytics. But soft skills are equally critical across all sectors. Employers consistently report a gap in graduates' abilities related to communication, critical thinking, collaboration, and adaptability. The most successful candidates in 2026 and beyond will be those who can combine a solid academic foundation with a rich portfolio of hands-on work and strong interpersonal skills.
