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Relief for job seekers as India sees employment boom

Amit Agrahari by Amit Agrahari
3 July 2018
in Economy
job seekers, employment

PC: cookifi.com

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Job prospects in the country are growing exponentially and companies are active in the market to hire more people,  The relief for job seekers is due to the healthy rate at which the Indian economy is growing, in the last quarter the GDP growth of the country was 7.7 percent. According to the TeamLease Employment Outlook Report for April-September 2018-19, there has been an increase of four percentage points in the net employment outlook to 95%, compared to 91% for the preceding half-yearly period, October-March 2017-18. The last time the survey reported a 95% net employment outlook was for October-March 2016-17. TeamLease is an HR solutions company founded in 2002 by Manish Sabharwal and some other people. Today it is a Fortune India 500 company.

The sectors which will provide employment to job seekers are retail, business process outsourcing (BPO), IT-enabled services (ITeS), fast-moving construction goods (FMCG), construction and real estate, and media and entertainment. A majority of these jobs are being created in Mumbai, Delhi, Bangalore, Hyderabad, and Pune. Rituparna Chakraborty, co-founder of TeamLease said “For India, the employment outlook is at 95%, which is substantially higher than in other Asian regions, a majority of cities have shown positive outlook towards hiring across the hierarchy. Medium-sized businesses are the most optimistic and have reported a 5% improvement in hiring sentiment. These factors combined are expected to boost the job market.” In the survey conducted by the human resource services company among 695 small, medium and large companies across 16 sectors, 96% companies responded positively while 1% responded negatively. 3% said there would not be any change in the volume of hiring from the previous half-year.

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Previously a survey by Experis IT Manpower group across the country found that IT companies will be hiring handsomely over the next two quarters. The openings in the IT industry are mainly for pre-trained professionals because companies do not want to waste their resources on recruiting unskilled graduates and train them. Most of the IT companies told surveyors that they want to hire trained freshers, although there are a number of jobs for experience holders of 1 to 2 years. Therefore, fresh graduates, as well as experienced job seekers in the IT sector, should expect a good year ahead. Economist Manish Sabharwal said, “The industries at any place create an ecosystem which is hard to replace. Therefore as it is hard to replace China as manufacturing hub, similarly it is hard to replace India IT hub because you cannot hire hundreds of programmers in an hour anywhere in the world except Bangalore.”

As per the payroll data of the Employee Provident Fund Organization (EPFO),  41.26 lakh new jobs were created in the eight months up till April this year, with the largest-ever addition of 6.85 lakh in April alone. The EPFO is an organization which assists the central government in administering Provident Fund Scheme, a Pension Scheme and an Insurance Scheme for the workforce engaged in the organized sector in India.  The Central Statistics Organization (CSO) had brought out the first release of employment-related statistics in the formal sector in April, 2018 covering the period September 2017 to February, 2018, using information on the number of subscribers who have availed benefits under three major schemes, namely – the EPFO, Employees’ State Insurance Scheme (ESIC) and National Pension Scheme (NPS). According to similar data released by the EPFO, as many as 41, 26,138 new payrolls were created during September 2017 to April 2018, and in April alone 6, 85,841 new payrolls were recorded by the retirement fund body.

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