Job market set for revival but good pay hikes for those who adapted to changing work profiles

Published On: 12, Dec 2017 | Source:

The Indian job market was hit badly post-demonetisation and due to automation in the IT and telecom sector, but in the coming days, the overall hiring sentiment of employers in India is on the path of revival. However, it would still be the survival of the fittest. According to a new forecast report, India Inc is promising better pay hikes of 10-15% for those who are able to re-skill themselves as per the changing work profile requirements.

Manpower Group’s India Economic Outlook report showed that the percentage of employers planning to hire dipped to 22% in January-March, further down to 19% in April-June and to 16% in July- September, but rebounded to 24% in October December. Experts hope that the recruitment landscape recovery will continue and companies in mobile manufacturing, fintech and start-ups, among others, may hire the most in 2018.

But the highlight of the report is pay hikes. Experts are pegging at 10-15% across most sectors — up from 8-10% mostly in 2017. “2018 is set to swing the pendulum further into the job growth zone. Businesses in almost all sectors — notably, financial services, retail and e-commerce and media and entertainment — are looking to hire talent at an even faster pace,” said Rituparna Chakraborty, co-founder of employment services provider Teamlease Services.

The year 2017 saw growing adoption of new business models and newer technologies like Artificial Intelligence (AI) and robotic process automation that significantly reduces the manpower requirements especially at the bottom of the pyramid. But this has also created a huge demand for specialists in these emerging technologies., PTI reported. “Change in business environment is leading to obsoleteness of existing skills and have created demands for new skills as must-haves. IT skills are out now, while data science and digital skills are in demand,” said Zairus Master, CEO of a leading online job portal.

In terms of increments, 2017 saw the median rate of pay hike dip to sub-10 per cent level at around 9.2%. This varied by sector, and most importantly, by job role, while specialised talent and key performers still got well rewarded. In the new year, the median increment is expected to improve to above 12% across sectors and profiles.

According to GlobalHunt’s Goel, the average hike was 8-10% in 2017 across the sectors, which should grow to 10- 12% in 2018. TeamLease Services’ Chakraborty said the figure should breach 11% in the new year.