The employment market shows signs of stability in Q2 of 2011-2012, according to a recent survey by a known HR Services Company in India. The report says that the July-September 2011 business quarter will see moderation or settling down as compared to rapid growth during the earlier quarters.
- Junior Level segment showed the highest and fastest bent to get hired in the past quarters while middle segment showed a single-digit negative growth
- Organisations surveyed expected an average 12.7 % salary hike for all employees across industries in 2011.
- 94% respondents said the coming quarters will see aggressive recruiting for new positions and attrition backfill, states Mercer India Monitor 2011
- Barring the Pharma sector, a 12.7% hike in salaries can be expected across industries, compared to 2010. Of this trend, the automobile sector is expected to gain the most – 14%, while the consumer industry is expected to gain 13.8%. IT and telecom sectors are expected to face a dip of 11.8 %.
- 94% of the companies will pace up recruitments, while the remaining 6% will stay content with their present headcounts.
- Pharma, financial services & insurance and chemical sectors will see increased hiring in sales and marketing
- 100% respondents felt there will be more hiring in the technical and engineering space while 75% felt the same for IT and telecom division
IMPACT OF RISING INFLATION
- Respondents have increased the travel and fuel reimbursements for their employees on account of rising prices
- 38% of the respondents agreed to have hiked salaries by over 5% to counter inflation
- 85% respondents were positive in increasing the proportion of employee salaries in the overall HR budgets in 2011
- Variable pay is one area where not much improvement can be expected in the coming quarters
Source of Information: Times Ascent