Good news for job seekers in India
There is some good news for those who are looking for jobs in India. More jobs are available this coming quarter (July to September 2007), and it’s not just in the IT industry but as many as seven employment sectors. This is what the Manpower Employment Survey (which interviewed 52,000 employers in 27 countries and territories between July and September 2007) has brought out. India stands third in the world where hiring prospects are concerned…after Singapore and Peru out of the 27 countries surveyed.
In India, as many as 4,925 employers from 30 cities from seven core sectors (Finance/Insurance, Real Estate, Manufacturing, Mining & Construction, Public Administration & Education, Services, Transportation and Retail) were interviewed. The figures for India are particularly good.
42 percent of those surveyed expected an increase in staffing levels in from July to September 2007. This is an increase of 33 percent from the previous quarter.
Only about 3 percent of those interviewed believed that hiring would decrease by 3 percent (up from 2 percent in previous quarter), while 42 percent were expecting no change (down from 58 percent in the previous quarter)
Although the Services sector in India showed the best hiring prospects, sectors like Finance, Real Estate and the Retail sector also show good hiring trends.
Which regions in India show the best hiring trends?
Job prospects are brightest in the Southern region (increase of 44 percent over the previous quarter) followed by the western region (increase of 41 percent) and eastern region (increase of 37 percent) and the northern region (increase of 33 percent).
OECD (Organisation for Economic Cooperation and Development) Report
In fact, another report, this time by OECD, has shown that India has beaten the BRIC nations (Brazil, Russia, India and China) in creating the maximum number of jobs over the past several years. In fact India has generated more than 11 million new jobs on an average every year from 2000 to 2005 …a higher figure the the other BRIC nations. China created just 7 million jobs, Brazil 2.7 million, and Russia 700,000. As it says here:
The OECD report said India also had the lowest percentage of jobless people among the BRIC nations. The country’s unemployment rate stood at 6 per cent in 2005. In contrast, China’s unemployment rate was at 8.3 per cent, Russia 7.9 per cent and Brazil 9.3 per cent during 2005….BUT the employment to population ratio was also lowest in India, the world’s second most populous nation after China, at 50.5 per cent in 2005.
The employment to population ratio being low is because of fairly high rural employment. Anyway, at least the rhetoric by some that GDP growth is not creating jobs has been disproved. Labour is getting employed by increasing numbers.
But while there is no dearth of unskilled labour to fill vacancies, there is a shortage of skilled labour as well as technical and managerial talent.
In several industries in India – like the IT and Retail sectors – there is a huge problem in getting people. Earlier this year, another survey(Mckinsey) of business executives in India showed that employers in need of technical and managerial talent will not hesitate to hire from outside the country if required.
Although we have bright and eager young people in India, there is shortage of higher educational institutions. Many engineering schools in the country are simply not good enough for IT companies. The reason why many talented youngsters are opting to study abroad.
However, there have been some recent initiatives from companies to train young engineering graduates to “bridge the gap between technical education and industry competitiveness”. In fact the Tata’s are even willing to train ordinary science graduates as software engineers because of the shortage of talent. There are companies which have stared to train fresh recruits in skilled work as well.
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