Global slowdown has dampened hiring prospects of India Inc, causing its outlook to hit the lowest ebb, with only 19 per cent employers having positive recruitment plans in the next three months, according to global staffing services firm Manpower.
This is the weakest outlook observed in India since the survey began in Q3 2005. This outlook represents considerable decrease of 24 percentage points quarter-on-quarter and 27 percentage points year-on-year, the Manpower employment outlook survey for the first quarter of 2009 said.
With this drastic fall, India has lost its top position after two consecutive quarters. Employers in India now report the second strongest hiring intentions globally, next to Peru, which has reported a net employment outlook of 24 per cent.
"Though hiring intentions remain positive, Indian employers are reporting a much slower hiring pace as compared to the last quarter and year. Employers in all the seven industry sectors and four regions have reported considerable decline in anticipated hiring activity for the first quarter of the New Year," Manpower India Managing Director Naresh Malhan said.
Responding to a query as to when will there be a sign of recovery, Malhan said: "The amount of damage done to the world economy is still uncertain. It will be another 4-6 months, by the time we get to know when the recovery start will start. It will get worse before it gets better. Considering the present situation, it is unlikely to improve in the next few quarters."
India is getting into a doom loop, but the country can get out of it with sufficient support from the government as well as private firms, Malhan added.