Hiring expectations of Indian employers continue to remain the strongest in Q4 2016 among the 43 countries and territories surveyed. According to the Manpower Employment Outlook Survey released today by ManpowerGroup, the survey of 5,089 employers across India indicates that Indian employers report optimistic hiring intentions for the October – December timeframe.
There is sentiment of optimism in India. The labour market outlook is bright and professionals are hoping for increased job opportunities.
AG Rao, Group Managing Director of ManpowerGroup India said, “The hiring outlook reflects some signs of increased caution amongst employers as Indian companies gauge the impact of the ongoing global slowdown compounded by automation in the IT sector and talent scarcity. However, there will also be some gains in the high skill jobs, as automation could create new positions too. However, the government’s focus remains clearly on creating jobs and ensuring that India becomes a manufacturing hub.”
“In the current situation, companies do realize the need to embrace digital transformation and it is important for Indian employers to redefine their workforce strategies and adopt innovative ways to leverage the strength of people and stay competitive. For gainful employment, jobseekers too need to continuously update and assess their skills to stay ahead of the curve in sync with the evolving economic trends,” added Rao.
Sectoral Trends
Employers anticipate payroll gains in all seven industry sectors during the forthcoming quarter. The strongest labour market is expected in the Services sector, where the Net Employment Outlook stands at +39%.
Brisk hiring activity is also forecast for the Wholesale & Retail Trade sector, with a positive outlook of +37%, while manufacturing sector employers expect a solid hiring pace, reporting an outlook of +30%. The Finance, Insurance and Real Estate sector show +28% and the Transportation & Utilities sector at +26% respectively.
Meanwhile, mining and construction sector employers report the weakest hiring outlook of +20%. Quarter-over-quarter, hiring intentions weaken in five of the seven industry sectors. The most noteworthy decline of 10 percentage points is reported by Transportation and Utilities sector employers.
The outlook for the mining and construction sector decreased by 8 percentage points, and Finance, Insurance and Real Estate sector employers report a decline of 4 percentage points.
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However, hiring prospects improve in two sectors, including the Wholesale and Retail Trade sector, where employers report an increase of 7 percentage points. When compared with Q4 2015, hiring plans weaken by varying margins in all seven industry sectors.
India’s Regional Trends
Employers in all four regions expect to grow payrolls during 4Q 2016. The strongest Net Employment Outlook of +38% is reported by employers in the North. Elsewhere, employers in the West forecast a brisk hiring pace with an outlook of +33%, while outlooks of +30% and +22% are reported in the South and the East, respectively.
Quarter-over-quarter, hiring prospects weaken by 3 and 2 percentage points in the East and the West, respectively. Meanwhile, employers in the South report relatively stable hiring plans, while the outlook for the North report is unchanged.
Outlooks improve in 21 countries and territories when compared with Q4 2015, are unchanged in six, and decline in 15. Hiring confidence is strongest in India, Japan, Taiwan and the United States, while employers in Brazil, Belgium, Finland, Italy and Switzerland report the weakest hiring plans.
Job gains are expected in all eight countries and territories surveyed in the Asia Pacific region. Hiring plans improve in six countries & territories in comparison to Q3 2016 and decline in only two. However, fourth quarter forecasts weaken in four countries and territories when compared year-over-year, improve in three and are unchanged in one. China’s forecast improves slightly from three months ago, but employers here again report the region’s weakest fourth-quarter hiring plans.
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