Employers continue to show optimism for the second consecutive quarter according to the latest ManpowerGroup Employment Outlook Survey of 3020 employers’. Sixty-four per cent expect to increase their staffing levels, 15 per cent anticipate a decrease and 20 per cent do not anticipate any change, resulting in a seasonally adjusted Net Employment Outlook of +49 per cent which is a record high in eight years. When compared to the same period last year, hiring sentiments have improved by a whopping +43 while there is a five percentage points growth when compared to the last quarter.
Employers in large organisations report the most optimistic outlook with 51 per cent intending to hire in the first quarter compared to 25 per cent in small companies. Employers in the North report the strongest hiring intentions for Q1 followed by South and West.
To provide a wider coverage of the market segments, ManpowerGroup has included four new sectors in this report like IT and technology, primary production, restaurants and hotels and not for profit increasing the overall number of industry sectors’ analysis from seven to eleven. All eleven industry sectors surveyed report positive intentions to add to their payrolls. ManpowerGroup also surveyed employers on their vaccination implementation and work arrangement plans.
Key Findings:
Companies in the IT, technology, telecom, communications and media sector report hiring outlook of +60 per cent followed by 56 per cent in restaurants and hotels sector.
Hiring forecast is least optimistic in the construction and primary production sectors, with a net employment outlook of +29 per cent and +28 per cent respectively.
91 per cent of employers surveyed will mandate double vaccination and require proof from staff.
Corporates expect to adopt hybrid working for 51 per cent of finance and accounting and 49 per cent of human resource staff while 45 per cent of production and manufacturing staff is expected to be at the workplace all the time.
Commenting on the findings, Sandeep Gulati, Managing Director, ManpowerGroup India opines, “India registered a V-shaped recovery owing to increased consumer spending, educational sector opening up and the government’s sustained efforts to accelerate vaccination coverage thereby breaking the virus chain. The boost in hiring outlook reflects employers’ sustained confidence in achieving a post-pandemic recovery. The “Great Resignation” is additionally impacting the hiring sentiments in companies especially in the IT and Technology sectors.”
“However, due to the skill gap, talent shortage continues to prevail and it has become increasingly difficult for companies to find and hire the right talent. Coupled with that is the new variant that is seemingly creating volatility for the administrators. ,” commented Gulati.
When asked about mandating vaccines, the survey revealed that 91 per cent of employers will mandate double vaccination and require proof for all staff while three per cent will allow individuals to decide.
Employers in all four regions expect to grow payrolls during the first quarter of 2022. The strongest hiring pace is anticipated in the North, where the Net Employment Outlook stands at +52 per cent. Dynamic hiring activity is also forecast in the South and the West, with Outlooks of +49 per cent and +50 per cent, respectively, while the Outlook for the East is +40 per cent. Hiring prospects strengthen in three regions out of four when compared with the previous quarter.
This survey onwards, four new industries have been added – primary production, IT and technology, not for profit and restaurants and hotels. An increase in payrolls is forecast for all eleven industry sectors during the coming quarter. IT and technology sector employers report the strongest hiring intentions with a net employment outlook of +60 per cent. Vigorous hiring activity is anticipated in the restaurants and hotels sectors and banking, finance, insurance and real estate sector with outlooks of +56 per cent and +52 per cent, respectively. Manufacturing and education, health, social work and government sector employers expect a brisk hiring pace, reporting an outlook of +47 per cent and +45 per cent respectively, while the outlook for the wholesale and retail trade sector stands at +42 per cent. Employers in the construction and primary production sector forecast solid payroll gains with an outlook of +29 per cent and +28 per cent respectively.