According to ACCA's Global Talent Trends 2026 report, 81% of Indian employees are planning to ask their employer for a pay rise in the next 12 months. The survey reveals that 68% are expecting a hike of more than 10%, reflecting growing dissatisfaction with current compensation levels. Cost of living remains the second-highest work-related concern globally for India, behind only jobs being replaced by technology. As reported by ACCA, almost all respondents are seeking job security that's not affected by uncertainty around AI and the geopolitical climate. The report found that concerns over the cost of living remain one of the biggest workplace issues globally, with rising living costs and inflation continuing to put pressure on household finances.
The report shows a significant shift in employee retention patterns, with 47% aiming to switch roles in the next year compared to 55% in 2025. More than 90% of Indian respondents seek at least one steady role, while 57% want freelance work and 36% want just one steady role. This focus on stability is reflected in retention data, indicating that employees are prioritizing job security over career advancement opportunities. The survey noted that lower job-switching intentions compared to last year, with employees expressing concerns over job security due to uncertainty linked to artificial intelligence and geopolitical conditions.
AI adoption continues to accelerate in Indian workplaces, with 57% of employees using AI technology in their current role. According to ACCA's findings, 52% are confident that an AI algorithm can support fair, unbiased recruitment. However, most respondents feel confident learning and applying AI-related skills, while some feel overwhelmed by the pace of change at work and worry about AI's impact on their role. The report indicates that AI use is rising fast in hiring and at work, but anxieties about its impact remain the same. At the same time, some workers said they felt overwhelmed by the pace of technological change and worried about AI's impact on their roles.
Hybrid work remains the preferred model, with 79% of Indian employees preferring hybrid work and 53% already using a hybrid model. While return-to-office mandates increase, most employees still favour flexibility. As reported by ACCA, willingness to be in the office is also rising, with organisations requiring set office days each week. Career growth is a key factor, as employees believe that more office presence improves promotion prospects. The survey found that hybrid work continued to remain the preferred model for most employees, with 79% preferring hybrid work arrangements.
Despite workplace challenges, mental health progress has lost momentum according to the report. 53% of Indian respondents cite work pressure as harmful to mental health in 2026, only a small increase from 51% in 2025. Millennials are most affected at 55%, closely followed by Gen Z at 54%. The survey reveals that 36% say employer support is insufficient, while 67% want more help managing mental health challenges in the workplace. The report said 67% wanted greater employer support for mental health management, highlighting the ongoing need for better workplace mental health support systems.
