According to the ManpowerGroup Employment Outlook Survey released today by ManpowerGroup India, the survey of 2375 employers across India indicates a rebound in hiring plans for the upcoming three months. Sectors which will lead the job market are likely to be the Public Administration and Education followed by Services sector. The strongest hiring pace is recorded in the Large sized organizations followed by the Medium sized organizations with a seasonally adjusted outlook of +10% which is an improvement of +3 percentage points as compared to the last quarter. From a region perspective, west indicate a more positive outlook followed by North.
ManpowerGroup further extended its survey to include the impact of COVID resulting in the following outcome:
- Nearly 27% of employers reported that they may return to pre-COVID hiring within June 2021 while 56% stated they will resume by the end of 2021.
- 52% of respondents were unsure about the future policies once the Vaccine is made available whereas 33% employers wanted to get their employees vaccinated. Interestingly 1% employer base is also planning to incentivize employees to encourage them to take the vaccination.
Mr. Sandeep Gulati, Group Managing Director of ManpowerGroup India said, “India remains resilient in the job market recovery post the Pandemic. The new budget announced also seems to provide the right impetus to opportunities in job creation especially in the public infrastructure, Healthcare and BFSI. However, in all probability, the impact of the government spends on employment will be seen in Q3 & Q4, 2021 when the rubber meets the road.”
He further opined “We have witnessed a rapid change in the job ecosystem with a mix of permanent workforce and gig workers as well as a hybrid working model. Too many moving parts in the quest to find a robust and scalable work set-up in the new normal.”
“Digital transformation will continue to be the key driver for the job market with a preference for those who can collaborate remotely and effectively. Professionals having an upskilling mindset will stand a better chance over the others.” added Mr. Gulati.
Workforce gains are expected in all seven industry sectors during the April to June period. The strongest labor market is anticipated in the Public Administration & Education sector, where the Net Employment Outlook stands at +10%. Services sector employers report a cautiously optimistic Outlook of +9%, and Outlooks stand at +6% in three sectors – the Finance, Insurance & Real Estate sector, the Manufacturing sector and the Transportation & Utilities sector. Elsewhere, Mining & Construction sector employers anticipate a modest hiring pace with an Outlook of +5%, while the weakest labor market is expected in the Wholesale & Retail Trade sector where the Outlook is +2%.
India’s Regional Trends
The strongest hiring prospects are reported in the West, where the Net Employment Outlook is +10%. Employers in the North forecast some hiring opportunities with an Outlook of +8%, while Outlooks stand at +7% and +4% in the South and East, respectively. Hiring sentiment in the West improves by 2 percentage points when compared with the previous quarter, while employers in the North report relatively stable hiring plans. The Outlook for the South is unchanged, but employers report a decline of 7 percentage points in the East.
ManpowerGroup interviewed over 42,000 employers in 43 countries and territories on hiring prospects* in the second quarter of 2021. All participants were asked, “How do you anticipate total employment at your location to change in the three months to the end of June 2021 as compared to the current quarter?” Interviewing was carried out during the exceptional circumstances of the COVID-19 outbreak. The survey findings for the April to June 2021 time frame reflect the impact of the global health emergency, and the ongoing economic restrictions in many countries.
Employers expect to add to payrolls in 31 of the 43 countries and territories surveyed by ManpowerGroup for the second quarter of 2021. In 10 countries and territories, employers anticipate a decrease in payrolls, while no change is expected in two.
When compared with the previous quarter, hiring intentions strengthen in 24 countries and territories, while weakening in 16, with no change reported in three. In a comparison with the same period 12 months ago, hiring plans weaken in 32 countries and territories, while improving in seven and remaining unchanged in four. For the second quarter of 2021, the strongest labor markets are forecast in Taiwan, the U.S., Australia and Singapore, while employers in Panama, the UK and South Africa anticipate the weakest hiring activity.
An increase in payrolls is expected in five of the seven Asia Pacific countries and territories in April to June 2021, while employers in two expect to trim payrolls. Hiring sentiment strengthens in four countries and territories quarter-over-quarter, but weakens in four when compared with the second quarter of 2020. The strongest hiring pace in the coming quarter is forecast for Taiwan, with employers in both Australia and Singapore reporting upbeat hiring plans. However, employers in both Hong Kong and Japan expect to trim payrolls.