Mumbai, 01 st November, 2022: TeamLease Services, a conglomerate revolutionizing employment, employability and ease of doing business in India, has today launched their “Employment Outlook Report” for Q3 (October to December, 2022) for the manufacturing sector. The report findings indicate that 57% employers have expressed the intent to hire and expand their resource pool. From a macro perspective, the overall intent to hire, across manufacturing and services sectors combined, has increased from 61% in Q2 to 65% in Q3 and is projected to cross 70% in the next few quarters.
Deep diving into the geographic trends, the report highlights that driven by post COVID resilience, resurgence and readiness; metro and Tier I cities (91%) have indicated a higher intent to hire vs. Tier – 2 cities (69%), Tier – 3 (39%) and rural locations (21%). Mumbai (93%), followed by Bangalore (90%), Chennai (83%), Delhi (79%), Pune (67%), Hyderabad (61%), and Ahmedabad (61%) are the top cities for employment opportunities in the manufacturing segment. The top sectors across the top cities constitute Fast Moving Consumer Goods in Bangalore; Manufacturing, Engineering & Infrastructure in Mumbai; and Agricultural &Agrochemicals in Chennai.
Sharing his views about the industry and the report’s findings, Dr. Mahesh Bhatt, Chief Business Officer, TeamLease Services, said, “Post COVID, global employment growth has recovered by 2.7% and is currently on a strong growth trajectory in H2 2022. Q3 projections for the intent to hire,especially in the manufacturing segment, stand strong. Much of this optimism is driven by the resurgence in the industry, increased consumer demand this festive season and the additional impetus introduced by the government. The INR 2.65 lakh crore stimulus package by the Government of India to generate job opportunities and provide liquidity support to Tourism, Aviation, Construction and Housing has been lucrative towards increasing employment opportunities in the manufacturing sectors.
Large manufacturing firms, with scale and technological heft lead the hiring intent (65%) by a huge margin as they have ramped up to cater to festive demand and optimize production capacities;followed by small scale industries at 41% and medium sized businesses at 39%.
“Majority of the sectors in the manufacturing segment (177 out of the 311 surveyed) are indicating a higher intent to hire in Q3. COVID 19 brought a paradigm shift in the Healthcare &Pharmaceuticals sector and for Q3, close to 92% employers have expressed the intent to increase their resource pool comparatively with the Q2 in 88%. Additionally, driven by higher consumer demand and sales this festive season, 79% employers in the Fast Moving Consumer Goods sector are also keen to hire. Agricultural & Agrochemical (66%), Manufacturing, Engineering & Infrastructure (62%) and Electric Vehicle & Infrastructure sector (61%) are other top sectors”, added Balasubramanian A, Vice President and Business Head – Consumer and Healthcare, TeamLease Services.
The Employment Outlook Report for October to December 2022 quarter for the manufacturing sector highlights the job market sweet spots for candidates. Manufacturing firms are looking to scale in a post-pandemic world and are staffing their frontlines with young talent. Junior level talent (57%) commands the best demand, hierarchically, and is closely followed by entry level talent (51%), mid-level (29%) and senior-level (21%). From a job function perspective, manufacturing companies are focusing more on operations and the profiles which are projected to have a higher hiring inclination are sales (95%), marketing (79%), information and technology (77%), engineering and blue collar (67%) Further, according to the report, the manufacturing industry has fared comparatively better when it comes to talent retention. Apart from Healthcare and Pharmaceuticals (14.71%), all the other sectors sit with low single digit attrition rates.
The TeamLease Employment Outlook Report is a forward looking tool, which has surveyed 311 manufacturing companies across 14 cities in India. The Intent to Hire indicator is particularly adapted to capture both moderate and significant changes in hiring sentiment as companies. The metric enables to accurately record the environment during a certain quarter and contrast it with the environment from the preceding quarter.