December 12, 2023
About 12% of employers either foresee a reduction in hiring intentions or have no plans for recruitment
Approximately 36% of surveyed employers plan to maintain current workforce levels
India's hiring optimism has risen by 5% compared to the same period the previous year
Across all four regions, employers anticipate payroll growth in the January-March 2024 period
India’s corporate sector exhibits the most optimistic hiring sentiment for the first quarter of the New Year compared to 41 other nations surveyed globally, according to ManpowerGroup Employment Outlook Survey.
According to the survey, 49% of 3,150 Indian employers spanning four regions and eight sectors anticipate increased hiring in the January-March 2024 quarter. Meanwhile, 12% either foresee a reduction in hiring intentions or have no plans for recruitment, resulting in a net employment outlook of 37%. This metric, indicative of labour market trends, reflects the difference between companies planning to hire and those anticipating declining headcount or hiring numbers.
Approximately 36% of surveyed employers plan to maintain current workforce levels, and 3% are still determining their hiring intentions.
India’s hiring optimism has risen by 5% compared to the same period the previous year and is 11% higher than the global average of 26% for January-March 2024.
Experts attribute this positive outlook to buoyant domestic demand and sustained private investments, positioning India as an attractive economic prospect. The further mentioned that India’s hiring outlook is closely linked to its growth momentum and prospects. They note India’s status as the fastest-growing large economy globally and emphasise the positive sentiments reflected in RBI’s business and consumer sentiment surveys. The experts also highlight the impact of substantial infrastructure investments, contributing significantly to employment generation and fostering a multiplier effect on income and consumption.
The survey identifies the financial and real estate sectors as having the most optimistic outlook at 45%, followed by Information Technology (44%) and the consumer goods and services sector (42%). In contrast, the energy and utilities sector exhibits the least optimistic outlook for the March quarter at 28%.
Across all four regions, employers anticipate payroll growth in the January-March 2024. The West leads with the most robust hiring pace and a net employment outlook of 39%, followed by the North and South with outlooks of 38% and 35%, respectively. The East exhibits a net employment outlook of 32%.
Source: Economic Times