India inc resumes hiring drive amid recovery signals

New Delhi
The Economic Times
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In a major relief for jobseekers, India Inc's hiring activities are picking up once again as economic conditions are looking up considerably, experts say.

Most of the Indian companies, which had frozen hiring due to the downturn, have started to look at fresh recruitments now with indications of an economic recovery becoming visible across the world, according to HR experts.

"Hiring trends are picking up with companies opening up again for fresh recruitments ... the days of downturn seem to be over and an upswing has begun.

"The resume posting activity is picking up again as people are testing the waters for changing their jobs," International Management Institute (IMI) Director C S Venkata Ratnam said.

Global consultancy PricewaterhouseCoopers Executive Director R Sankar said the hiring conditions were turning for the better even as a long way remains for companies to regain their previous year's levels.

"The job scene has improved but is still to reach the levels of euphoria we were accustomed to in earlier years. We don't see a 'flurry of resumes ' but cherry picking of key talent continues to happen," Sankar said.

"Much would depend on the pace of the economic recovery. The green shots are springing up but the poor monsoon is cause for concern," he added.

Venkata Ratnam also said that retail and realty sectors are the ones to pick up strongly in the coming months, while IT sector will continue to suffer as it is not driven by domestic demand.

"In any event, sectors such as FMCG, pharma, telecoms etc which have been relatively less affected by the slowdown will continue to hire, albeit cautiously," Sankar pointed out.

In June, corporate India's hiring activity had surged significantly with recruitment in banking and financial services sector increasing 22 percent in the month, according to a survey by a job portal.

"The economy has pulled out of the stagnancy in hiring. Although, there is an uptrend in hiring, this may be only indicative of replacement hiring," Info Edge National Head - Marketing and Communications Sumeet Singh said.

The job trends in Indian companies' is in line with their global peers and a recent survey by Deloitte revealed HR executives globally now have new concerns about building up of a 'resume tsunami' which may be ready to hit once the economy turns and employees begin to consider new opportunities.

"Once recovery begins to take hold, business executives and talent leaders can expect a 'resume tsunami' as voluntary turnover rises with leaders and workers with critical skills seeking new opportunities," Deloitte LLP Consulting Principal (Human Capital) Jeff Schwartz said.