More job options for Indians in Q2
According to a global survey, the hiring intentions of Indian employers are far more bullish, and second only to Japan.india Updated: Mar 14, 2006 17:46 IST
The Manpower Employment Outlook Survey released on Tuesday reveals that the hiring intentions amongst Indian employers is very strong for the second quarter of 2006.
It predicts an overall Net Employment Outlook of +40 per cent, an increase of 13 percentage points over the previous quarter.
Of the 4,515 employers surveyed in India, 42 per cent expected staffing levels to increase while 44 per cent expected there to be no changes in the staffing levels.
With only 2 per cent employers expecting a decrease in the staffing levels and 12 per cent not knowing, employers in India are the second most optimistic from those surveyed in the world, behind those in Japan.
The Net Employment Outlook is derived by taking the percentage of employers anticipating total employment to increase, and subtracting from this, the percentage expecting to see a decrease in employment at their location in the next quarter.
For the first time since the survey was launched in India, the Transport and Utilities sector emerges as the most optimistic industry sector with a positive Net Employment Outlook of +46 per cent, with the Services sector close behind with a healthy Net Employment Outlook of +42 per cent.
The Manpower Employment Outlook Survey conducted in India includes employers in seven industry sectors, namely Finance/Insurance/Real Estate; Manufacturing; Mining & Construction; Public Administration & Education; Services; Transportation & Utilities; Wholesale & Retail Trade.
Key Sector Hiring Intentions
Positive hiring intentions are expected across all seven industry sectors in the upcoming quarter, with employers in the Transport and Utilities sector reporting the most optimistic Net Employment Outlook of +46 per cent, followed by those in the Services sector (+42 per cent), Mining and Construction sector (+ 40 per cent), Manufacturing sector (+40 per cent), Finance Insurance & Real Estate (+39 per cent), Wholesale Trade & Retail Trade sector (+33 per cent) and Public Administration & Education sector (+31 per cent).
Employers in all industry sectors reveal a huge quarter-over-quarter resurgence in their Net Employment Outlook.
The greatest increase is anticipated within the Mining & Construction and Transport & Utilities sectors with a 19 percentage point quarter-over-quarter increase each to a Net Employment Outlook of +40 per cent and +46 per cent, respectively.
The Manufacturing sector with a Net Employment Outlook of +40 per cent shows an increase of +15 per cent over the previous quarter, while employers in the Services and Wholesale Trade & Retail Trade sectors show an increase of +12 per cent and +8 per cent with their Net Employment Outlook being +42 per cent and +33 per cent, respectively.
The employers in the Finance, Insurance and Real Estate and the Public Administration & Education sectors show the smallest increase (both of 7 per cent) over the previous quarter with a Net Employment Outlook of +39 per cent and +31 per cent, respectively.
Commenting on the survey Soumen Basu, Executive Chairman, Manpower India said, "The hiring intentions of Indian employers are far more bullish compared to the previous quarter which could be attributed to the beginning of the financial year and the continued business optimism."
He further added, "The steady quarter-over-quarter improvement in the hiring intentions of the Transport & Utilities sector can perhaps be attributed to the growth in the Manufacturing and Services sector. With the increase in the number of Airlines that dot the Indian skies, this sector is likely to continue on this growth path."
The Net Employment Outlook in all four regions is very positive. Employers in the southern region are the most optimistic, reporting a Net Employment Outlook of +46 per cent, followed by the West with a Net Employment Outlook of +39 per cent.
Those in the North and East are buoyant at +37 per cent. North, whose employers were the most optimistic in the last quarter, has yielded the top position to West.
All four regions have shown a major quarter-over-quarter increase, with West gaining the maximum with an increase of +21 per cent.
Net Employment Outlook for South, East and North increased by 18, 6 and 5 percentage points, respectively.
The Manpower Employment Outlook Survey released on Tuesday revealed that second quarter hiring is expected to be positive in 23 of 24 countries and territories surveyed, with Japanese and German employers reporting their most optimistic hiring plans since the survey began in these countries in the second quarter of 2003.
The strongest second-quarter hiring prospects reported globally were in Japan, India, Taiwan, Peru, New Zealand and Hong Kong, with only Italian employers reporting a negative hiring outlook for the quarter ahead.
This quarter also marks the first time the survey has been conducted with employers across Peru.
Employers in 10 of 12 European countries surveyed are reporting stronger hiring intentions compared to first quarter and nearly two-thirds are reporting improvements from last year at this time. Second-quarter hiring prospects are the strongest in Spain, Norway, Sweden, Ireland and the UK, based on seasonally adjusted data.
Notably, the only negative Outlook for Europe was reported in Italy where employers have been pessimistic for three consecutive quarters.
German, Spanish, Swiss and Dutch employers are reporting their strongest hiring intentions since the survey began in those countries.
Of the eight countries and territories included in the survey across Asia Pacific, hiring activity is expected to be strongest in Japan, India and Taiwan, while the weakest hiring in the region is anticipated in Singapore, Australia and China.
While hiring is set to improve from first quarter in the majority of countries surveyed in Asia Pacific, employment prospects are weaker than the same quarter of 2005 in Australia, China, New Zealand and Taiwan.
Hiring across the Americas is expected to remain stable from last year at this time.
Employers in Peru joined the survey this quarter with particularly optimistic second-quarter hiring plans, the strongest of the four countries surveyed. The Canadian outlook remains identical to one year ago.
The next Manpower Employment Outlook Survey will be released on the 13h of June 2006 to report hiring expectations for the third quarter of 2006.