Job market stays red hot, services rule
Employers in India are expected to sustain a robust pace of hiring in the third quarter of 2007, says a survey by Manpower Inc, reports M Rajendran.business Updated: Jun 12, 2007 21:39 IST
It is raining jobs, and employers in India are expected to sustain a robust pace of hiring in the third quarter of 2007, says a survey by global employment services firm Manpower Inc.
The Manpower Employment Outlook Survey, which interviewed 4,925 employers, said the overall net employment outlook for the July-September quarter was 39 per cent.
This is the difference in the share of those who said they expected to increase hiring (42 per cent) and those who expected a decrease (3 per cent). Some 42 per cent expected no change in hiring.
Understandably, the services sector showed the strongest outlook of 46 per cent, reflecting a boom in a host of industries such as software, back-office services, construction, retail and tourism.
"Robust hiring intentions across sectors can be attributed to businesses gaining momentum around this time of the year which is quite a cyclical process. Additionally, the completion of appraisals in most Indian companies amplifies the hiring activities as workers are more willing to change jobs,” said Soumen Basu, executive chairman of Manpower Services India Pvt Ltd.
Last year, the same quarter showed a Net Employment Outlook of 49 per cent.
The southern region, with boom towns like Hyderabad and Bangalore, showed the most bullish employers, with a 44 per cent net employment outlook, which is as much as 13 percentage points above the previous quarter.
That compared with 41 per cent in the western region, up 12 points, while the North was comparatively weaker at 33 per cent, down two points. The East, at 37 percent, was up 11 points.
Positive hiring is expected across eight nations surveyed in the Asia-Pacific region, but only Indian firms are anticipating a stronger outlook than in the previous quarter, Manpower said in a statement.
In India, the survey covered seven industry sectors: finance/insurance/real estate; manufacturing; mining and construction; public administration and education; services; transportation and utilities; wholesale and retail trade.
The public administration and education sector employers indicate the weakest hiring intentions with a Net Employment Outlook of 27 per cent.