Mumbai: Indian companies have emerged as global leaders in Artificial Intelligence (AI) readiness, but a significant gap remains between ambition and execution. According to JLL’s 2026 Future of Work Survey, while 77% of Indian business leaders believe AI will transform workplace requirements, only 19% have actually begun implementing changes to their office environments.
The survey, conducted during the first quarter of 2026, covered more than 2,200 CEOs, CFOs, and corporate real estate leaders across 21 countries.
Contrary to concerns that AI will replace employees, Indian businesses expect the technology to create more opportunities. Nearly 58% of senior business leaders anticipate workforce growth over the next three to five years, while 62% believe AI will make human roles more valuable rather than eliminate them. Additionally, 65% expect employee performance to be evaluated increasingly on the quality of work delivered rather than the number of hours worked.
India outperformed the global average across all eight AI readiness indicators tracked by JLL. Indian companies are ahead in monitoring AI trends, assessing AI’s impact on corporate real estate, training employees, managing organizational change, and identifying new locations as automation expands.
Despite this leadership, implementation remains slow. Only 19% of Indian companies have reached the most advanced stage of AI adoption in their real estate operations, compared with 15% globally. Overall, 47% of Indian firms are actively deploying AI, higher than the global average of 42%, but the majority are still waiting for broader organizational decisions before redesigning workplaces.
Ajit Kumar, Managing Director, Work Dynamics Accounts, West Asia, JLL, said India’s challenge is no longer financial but capability-driven.
“For the first time in 15 years of tracking this data, Indian companies identify skills shortages rather than budget as the primary barrier to AI adoption. Companies that treat AI as a skills development challenge and invest in workforce capabilities will lead India’s workplace transformation over the next decade,” he said.
The survey marks a significant shift in corporate priorities. For the first time in JLL’s 15-year survey history, 46% of Indian companies identified shortages in AI, technology, and data skills as the biggest challenge to workplace transformation, while only 35% cited budget constraints. This indicates that access to skilled talent has overtaken funding as the primary obstacle.
Technology investment is becoming a top priority. Half of Indian companies plan to increase spending on AI support systems, while 49% will invest in technology infrastructure to improve productivity. However, technology is also viewed as the biggest source of future business risk. Cybersecurity and data privacy, along with AI-driven disruption, were each cited by 46% of respondents as major concerns, while 39% remain uncertain about AI’s long-term impact on office space requirements.
The report also highlights evolving workplace trends. Indian employees are expected to work from the office an average of 3.8 days a week, slightly higher than the global average of 3.7 days. Nearly 62% of companies require employees to be physically present for four to five days every week.
Businesses are also adopting a long-term approach to real estate decisions. Around 73% would rather invest in AI-enabled buildings than spend only on routine maintenance, while 72% prefer securing long-term office locations over flexible leases. About 71% prioritize long-term transformation instead of immediate cost-cutting measures.
Interestingly, companies increasingly value access to skilled talent over digital infrastructure. More than half (54%) said proximity to talent is more important than being close to data centres, underlining India’s continued reliance on its skilled workforce as a competitive advantage.
The cost structure of offices is also changing. Energy expenses and AI automation costs, each cited by 49% of respondents, are expected to be the biggest drivers of future office expenditure. Office rent ranked only sixth, with just 29% considering it a major contributor to rising costs, reflecting a significant shift in how companies view workplace expenses.
To accelerate AI adoption, JLL recommends that companies prepare for multiple workplace scenarios, combine external AI expertise with internal skill development, and improve collaboration between HR, IT, finance, and real estate teams. The report concludes that organizations capable of translating AI ambition into execution will be best positioned to shape the future of work in India.
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