The TeamLease Employment Outlook Reports for Q4 (January to March, 2023) show that close to 97% employers across both cities have expressed higher hiring intent for their corresponding sectors.
For the services sector, Chennai (94%), Delhi (90%), Hyderabad (86%) and Mumbai (85%) follow suit as top locations, and for manufacturing, subsequent top cities include Bengaluru (94%), Chennai (89%), Delhi (84%) and Pune (73%).
Incidentally, Bengaluru, Mumbai, and Chennai have emerged as sweet spots from a holistic perspective across sectors.
Overall, while tier 1 cities lead in terms of hiring intent, tier 2 cities are also emerging, with close to 75% employers across both sectors indicating positive sentiment. However, tier 3 (46%) and rural geographies (24%) are lagging considerably.
In the manufacturing sector, the intent to hire is greater in metro and tier 1 cities (94%) as compared to tier 2 cities (73%), tier 3 (43%), and the rural sector (23%). On the other hand, for services, in metro and tier 1 cities, the hiring intent is at an exceptionally high level (99%), followed by tier 2 (77%), tier 3 (49%) and rural (25%).
“Surplus public investment in PLI schemes, the Indian government’s asset monetisation programme, increased private participation in key sectors, and the revisions in FDI laws in the defence and telecom sectors has fueled growth in companies across sectors, especially in tier 1 and tier 2 locations. Companies are therefore shoring up their talent pool to meet their increasing requirements. The positive hiring outlook will likely continue in the next quarter as well,” said Kartik Narayan, CEO – staffing, TeamLease Services.Industry-wise, some of the verticals in the services sector looking to hire the most in these locations include e-commerce and allied startups (98%), telecommunications (94%), and educational services (93%). In manufacturing, healthcare and pharmaceuticals (98%), FMCG (86%), and EV and infrastructure sectors (71%) aim to recruit the most across the top cities. On the other hand, while the global sentiment in the IT sector is not very positive, the Indian economy stands solid and will continue to show resilience even in the IT industry.
“India’s GDP vision and multiple domestic focused initiatives have provided the much needed impetus to the industry post the pandemic. This in turn has given a fillip to employment generation, improving the intent to hire across sectors, locations and industries. 60% employers in manufacturing and 77% in services inclined towards hiring more is a testament to the growing opportunities in the ecosystem,” said Mayur Taday, chief business officer, TeamLease Services.
The report shows forward looking statistics for ‘intent to hire’ for January 2023 to March 2023, for both manufacturing (nine industries) and services sectors (14 industries), in total surveying 874 small, medium and large companies.