Click to play videoNew Delhi: Indian job seekers can look forward to a brighter future. A survey of over 5000 companies finds there will be more hiring in the next three months, than in any quarter since 2005. Manufacturing, finance, insurance and real estate will be among the sectors that do the most recruiting.
"The good news for the job seekers and for our economy is that all sectors are showing a robust growth in their hiring plans," said Manpower India Sales & marketing Head Namr Kishore.
Most of the hiring will take place in south India.
"If I take the data which is indicating such a robust hiring plan from all the sectors and als what is happening in the Indian economy I really could say that slow down is way behind us now," said Namr Kishore.
As hiring picks up pace, so will be the salaries. Another forecast says salaries could increase by almost 13 per cent this year, with double digit hikes continuing for the next couple of years.
Led by engineering services sector, the projected jump of 12.9 per cent in salaries for this year is higher than the actual increase of 11.7 per cent seen in 2010.
Global HR consultancy group Aon Hewitt on Wednesday said India is likely to see the highest pay hike in the Asia-Pacific region, followed by China (9 per cent) and Philippines (7 per cent).
"India's salary rise would also be among the highest in the world... companies are growing fast and demand is rising due to good economic growth," Aon Hewitt's India Practice Leader (Compensation) Nitin Sethi told reporters here today.
Among the sectors, engineering services are expected to witness the maximum hike of 14.4 per cent while it would be 14 per cent each in automotive and energy (oil/gas/power) segments.
Information technology and outsourcing (ITES) sectors are projected to see a salary increase of 12 per cent and 11.9 per cent, respectively.
Going by the Aon Hewitt's Annual Salary Increase Survey, media industry would witness a hike of 13.4 per cent in 2011.
The findings are based on a survey of 531 organisations conducted over December 2010 to January 2011.
Sethi noted that double-digit salary increases would continue for the next couple of years and is expected to be "12-15 per cent" across industries.
"The positive growth estimate is owing to sustained increase in domestic consumption, investment in infrastructure, continued momentum in services and efforts towards fiscal consolidation," Aon Hewitt said.
On the other hand, Sethi said that attrition is also at high levels, touching 18.9 per cent last year.
Among the employee groups, junior manager/supervisor/professional level employees are projected to see a hike of 13.3 per cent while top/senior management people are anticipated to get about 12.1 per cent rise this year.
The general/entry staff are likely to receive an salary increase of 12.7 per cent, which "can be attributed to high turnover rates coupled with high inflation rates pushing up the cost of living for these levels," Aon Hewitt said.
As per the survey, variable pay as part of total compensation is increasing, as entities are tying a greater percentage of salary to individual and overall company performance.
But the high level of inflation remains a concern, which may resulted into tightening of monetary policy by the RBI, hurting the economic growth and job market. While the general inflation stood at 8.23 per cent in January 2011, much above the comfort level of 5-6 per cent, the food inflation was at a staggering level of 11.49 per cent.
While the Asia Pacific picture looks rosy, the same isn't true for European countries rattled by the sovereign debt turmoil. Greece, Spain, Ireland and Italy recorded the weakest global forecasts.
(With additional information from PTI)
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