Purpose On the basis of an exploratory research, the purpose of this paper is to identify the criteria used by new entrants to the workforce (specifically premium millennial talent) while making job choices. Design/methodology/approach Using signal theory, the study attempts to explore what drives prospective millennial candidates to apply to a particular job role by identifying the components that form the initial anticipatory psychological contract (iAPC) of millennial talent from a tier-1 technological school in India and the factors that drive their job application intent. It is an exploratory study which uses survey data from 335 respondents. Findings The study identifies the critical components of the iAPC of this set of talent. It highlights the transactional approach of this cohort to evaluate prospective job roles. Research limitations/implications This research is based on an exploratory study which was carried out in a single school in India and may be used as a concept for designing and implementing more generalized studies using standardized tools of measurement in the future. The study highlights the fact that this cohort attends to the transactional components of the signals sent out by recruiters to a larger extent than to other kinds of signals which may be communicated by employers. HR communication strategies for connecting with this set may emphasize the unique employment proposition to potential recruits using the findings from this study to better engage with this cohort. Practical implications The current research gives indications on the components of the iAPC for this cohort and would help HR form appropriate strategies to attract this set of talent. Originality/value This research takes a fresh line of reasoning to explain what parameters would drive fresher millennial talent to apply for a job at an organization. It views the group through a generational theory paradigm and signaling theory forms the backdrop for this study. Further, since the study is based on an Indian sample, it contributes to literature from a non-western context.