Sectors expected to drive the fourth-quarter job market include Public Administration & Education, Wholesale & Retail Trade and Services
According to the ManpowerGroup Employment Outlook Survey released today, the survey of 5,131 employers across India indicates optimistic hiring plans for the upcoming three months. Sectors expected to lead job market growth include Public Administration & Education, Wholesale & Retail Trade and Services sectors. Medium-sized companies, as well as employers in the East region, are forecasting the strongest Outlooks in the country for the fourth quarter of 2019.
A senior spokesperson of ManpowerGroup India said, “The slew of measures announced by the Government of India is multi-sectoral and multi-dimensional. The special focus is currently to boost the MSME. Further, the government is considering to bring a legislation to ensure payments to MSMEs within 45 days of supplying a product. The minister has also asked global multilateral lending agencies to reduce the cost of capital for the MSME sector. The Government has been designing policies and schemes with the theme “Budget Ease of Living” with special attention towards promoting facilitating entrepreneurs, who are the job (and wealth) creators of India. Further, the Central Government plans to disburse US$ 1 billion to states for introducing skill development initiatives. India’s higher education segment is expected to surge to US$ 35.03 billion by 2025. Government and corporations are taking up training and upskilling initiatives to fill the skill gap and the education sector will be a strategic priority of the Indian Government with an allowance of 100% FDI in the education sector. Opportunities are expected to remain favorable for candidates with the right skills and flexibility. All these measures are likely to give a major boost to the economy, industrial activity and overall growth trajectory.”
“Lack of desired skillsets is what makes it difficult for Indian employers to fill job positions. Corporate India’s hiring intention is better as employers collaborate with the education bodies to ensure a skilled labour pool in the coming years.” added the senior spokesperson.
According to our survey, India’s job market, overall, looks bright when compared to the last quarter with a seasonally adjusted Net Employment Outlook of +19%.
Workforce gains strengthen in all seven industry sectors in the coming quarter. Public Administration & Education employers report the strongest hiring intentions with a Net Employment Outlook of +27%. Respectable payroll gains are also forecast in two sectors with Outlooks of +25% in the Wholesale & Retail Trade sector and +22% in the Services sector. Positive hiring opportunities are expected in the Manufacturing sector and the Mining and Construction sector, where Outlooks stand at +16% and +13%, and in the Transportation & Utilities sector with an Outlook of +11%.
India’s Regional Trends
Hiring is expected to increase in all four regions during the coming quarter. Employers in all four regions expect to add to payrolls during the forthcoming quarter. The strongest labor market is expected in the East, where the Net Employment Outlook stands at +38%. Steady workforce gains are also forecast in all the other three regions, South, West and North with Outlooks of +19%, +18% and +16%, respectively.
In the East, employers report quite a strong improvement of as high as 29 percentage points when compared with the previous quarter. Outlooks improved for all other regions as well.
ManpowerGroup interviewed over 59,000 employers in 44 countries and territories to forecast labor market activity* in the fourth quarter of 2019. All participants were asked, “How do you anticipate total employment at your location to change in the three months to the end of December 2019 as compared to the current quarter?”
The ManpowerGroup research for the fourth quarter of 2019 reveals that employers expect workforce gains in 43 of 44 countries and territories surveyed in the period up to the end of December 2019.
When compared with the previous quarter, employers in 15 out of 44 countries and territories report stronger hiring prospects, while employers in 23 countries report weaker hiring plans which also includes 6 who anticipates “no change”. The strongest hiring sentiment is reported in Japan (+26%), Taiwan (+21%), U.S. (+20%), India (+19%) and Greece (+18%), while the weakest hiring activity is expected in Spain (0%), the Czech Republic (+2%), Argentina (+3%), Costa Rica (+3%), and Switzerland (+3%). Chinese employers (+4%) expect a cautious hiring climate in the coming quarter, reporting their weakest Outlook in two years.