Indian professionals are among many foreign nationals who found employment in Britain between April and June this year, while the number of UK-born people finding job during the period has fallen.
The figures published by the Office for National Statistics (ONS) raised concerns about lack of skills in Britain that prompted employers to look to India and other countries.
Chancellor George Osborne said the ONS figures were 'disappointing', but said jobs were still being created in the British economy currently facing recession and downturn.
The Labour party said the figures were 'very worrying'.
The figures show that the number of UK-born people in employment was 25 million over the three months to June, a fall of 50,000 people on a year earlier.
The number of people with jobs who were born outside Britain was 4.15 million, an increase of 289,000 on last year.
The number of people born in India and employed in Britain (not necessarily Indian citizens) during the period from April to June was 398,000, while the number of Indian citizens in employment during the same period was 188,000.
The ONS said that the number of non-UK born people in employment is greater than the number of non-UK nationals in employment, as the non-UK born series includes many UK nationals.
Criticising the chancellor for figures that showed the number of British citizens in employment had fallen, Stephen Timms, shadow employment minister said, "Only days ago the Chancellor called Britain's economy a safe haven and today we learn that unemployment rose by 38,000".
Lord McFall, former MP and chairman of the Treasury select committee said, "This highlights the lack of skills in the UK population. With the rise of China and India this is a warning that the education and skills agenda needs greater focus."
