Indian employers are set to slow the pace of hiring in the October-December quarter as majority of them plan to keep the workforce at current levels on account of sagging global economy and policy paralysis on the domestic front, says a survey.
According to the Manpower employment outlook survey, they are downshifting from the vigorous hiring pace seen over the past two years, with just 27 per cent employers optimistic about strengthening their staffs, says a survey.
Moreover, Taiwan has toppled India as the most optimistic country in terms of hiring intentions in the next three months over the world.
“In the emerging markets of China, Brazil and India, employers in nearly all industry sectors expect to slow the pace of hiring from this time last year most notably in India,” the report said.
Commenting on the findings, ManpowerGroup India Managing Director Sanjay Pandit said, “The weaker hiring outlook reflects caution amongst employers as Indian companies gauge the impact of the ongoing global slowdown compounded by local governance issues and policy paralysis.”
Interestingly, Indian employers do not intend to shed staff, but they are definitely planning to considerably downshift their hiring until “they see more positive signals in the marketplace”, Pandit said.
Region wise, hiring plans in all four zones of India and all seven industry sectors will weaken by varying degrees for the coming quarter, but outlooks still remain in the positive territory in all industry sectors and all regions.
A brisk hiring pace is expected by employers in the finance, insurance and real estate sector (32 per cent), and job seekers can also expect to benefit from solid hiring plans in the wholesale and retail trade (27 per cent), manufacturing (22 per cent) and the services (21 per cent) sectors.
According to the survey, world-over, employers are adopting cautious approach with employers in 22 labour markets of the 42 countries and territories covered under the survey reported improved or relatively stable hiring intentions compared to the third quarter. However, the pace of hiring is expected to weaken in 26 markets compared to one year ago.
“There is so much uncertainty in the global labour market now and that is undermining employer hiring confidence,” ManpowerGroup Chairman and CEO Jeffrey A Joerres said.
The survey further noted that employees in Greece, Italy, Finland, Ireland, Spain, Slovakia, Netherlands, Czech Republic and Poland report the weakest and only negative hiring intentions worldwide.
“If these uncertainties the debt crisis in Europe, rumblings of a slowdown in China, the US presidential election and healthcare costs coming in that can’t be calculated keep stacking up, we will see the global labour market’s slow, steady hiring mode shift to a pause,” Joerres added.