Good news! India Inc’s hiring sentiment for New Year likely to be highest among 41 countries

India Inc‘s hiring sentiment for the first quarter of the New Year is the highest among 41 countries, according to a global survey. However, within the country, the job marketis expected to remain stagnant compared to the previous quarter. In a recent ManpowerGroup Employment Outlook Survey, 49% of 3,150 Indian employers from various regions and sectors stated their intention to hire more people from January to March 2024.Meanwhile, 12% anticipated a decrease in their hiring plans or had no plans to fill vacancies. This resulted in a net employment outlook of 37%, which is the difference between companies looking to hire and those expecting a decline in headcount.
Around 36% of employers planned to maintain their current workforce levels, while 3% were uncertain about their hiring intentions. These findings were shared with ET.
Compared to the same period last year, hiring sentiment has increased by 5 percentage points and is 11 percentage points higher than the global average for the first quarter of 2024, which stands at 26%.According to Sandeep Gulati, the managing director of ManpowerGroup India and the Middle East, India’s strong hiring outlook can be attributed to buoyant domestic demand and continuous private investments, making it an attractive economy.
Sachchidanand Shukla, the group chief economist at Larsen & Toubro, stated that India’s hiring outlook is influenced by its growth momentum and future prospects. Despite the challenges faced by the global economy, India has maintained its position as the fastest-growing large economy. The recent quarterly growth rates further support this trend, he said. Shukla also highlighted the positive business and consumer sentiment surveys conducted by the RBI, as well as the substantial investments in infrastructure, which generate employment opportunities and stimulate income and consumption.

The survey revealed that the financial and real estate sectors displayed the most optimistic outlook at 45%, followed by Information Technology (44%) and the consumer goods and services sector (42%). On the other hand, the energy and utilities sector had the least positive outlook for the March quarter, with only 28%.
Rajkamal Vempati, the head of HR at Axis Bank, expressed the bank’s plans to expand its workforce. They see numerous opportunities for growth, particularly in areas that act as engines for development and branch expansion. Most of their hiring will focus on frontline positions.
Read From ET | India Inc hiring sentiment
All four regions in India expect to witness an increase in payrolls during the first quarter of 2024. The Western region is likely to see the most robust hiring pace with a net employment outlook of 39%, followed by the North and South regions with outlooks of 38% and 35% respectively. The Eastern region had a net employment outlook of 32%.