India Inc is hiring less, says survey

India Inc is hiring less, says survey

The research was by human resource company Ma Foi Management Consultants Ltd “The pharma and energy sectors are expected to exceed their projected hiring figures this year.

(They) ... are likely to close 2011 creating 50,000 and 28,700 jobs, respectively, as against projected numbers of 49,400 and 24,900 jobs,” Managing Director and Chief Executive Officer of the company E Balaji said.

“Overall there will be a shortfall of 229,500 fresh jobs creation against an earlier projection of around 1.6 million new jobs,” he told reporters.

India Inc is expected to add 3,46,000 jobs during the fourth quarter of 2011 as against 3,26,400 jobs created in the third quarter, he said.

The survey was conducted among 676 companies across 13 industry segments spanning eight Indian cities.

According to Balaji, the company conducts such surveys in every quarter of a calendar year. The slowdown in the economy and increasing domestic inflation has resulted in sectoral variation in the employment outlook, he noted.

Although new jobs are added, it is at a slower pace, he stated. The healthcare sector continues to lead in job generation by adding 60,400 jobs in July-September, 2011, followed by hospitality with 48,400 jobs and information technology (IT) and IT Enabled Services (ITES) sectors with 46,600 jobs during the same period, the research stated.

But the numbers are lower as compared to the projections made at the beginning of the third quarter as healthcare sector was expected to add 63,800 jobs, hospitality 54,400 jobs and IT and ITES 55,500 jobs.

The hospitality sector had projected a creation of 218,200 fresh jobs in 2011 but is likely to end up adding 183,400 fresh jobs, Balaji said.

Similarly the non-machinery manufacturing sectors (chemicals, process industries and others) are expected to close 2011 adding 1,55,900 jobs against a projection of 223,400 jobs.

Banking, financial services and insurance (BFSI), education/training/consultancy, machinery manufacturing, retail, logistics, media and entertainment are some of the other sectors that would close 2011 with lower fresh job creations compared to the projections made earlier, Balaji said.

Nevertheless the top five employment generating sectors during the fourth quarter are expected to be healthcare, hospitality, IT and ITES, non-machinery manufacturing, media and entertainment, Balaji said.

“In terms of major cities, Mumbai is expected to add 27,300 jobs followed by New Delhi/National Capital Region with 25,300 and Chennai 16,600 jobs during the fourth quarter,” he said.

The hiring of freshers was the highest in the hospitality sector while hiring of experienced manpower was the highest in the energy sector. Recruitments using referrals and social media are also on the rise by the Indian corporates, according to the research.