India records 9% annual growth in May: Monster Employment Index
The labor market continued to show growth for the second consecutive month of FY23 with a benchmark recovery of 9% YoY in May 2022. With the rapid adoption of emerging technologies across all sectors in India , the country has come a long way to achieve a post-pandemic recovery, the Monster Employment Index (MEI) points out.
However, amid concerns about high inflation driving up costs due to the current global socio-economic scenario, the index stabilized 4% month-on-month, reflecting the cautious sentiments of recruiters this month.
“Sectors such as telecommunications, BFSI and import/export posted upbeat employment trends contributing to the overall annual growth in job posting activity. The same was reflected in the index, as 22 of the 27 industries monitored showed a slight increase in demand from the level of the previous year. Meanwhile, Tier 2 cities have also made good progress on the road to post-pandemic recovery with strong growth numbers while Tier 1 cities continue to fuel growth, according to the survey.
Commenting on employment trends for May 2022, Sekhar Garisa, CEO of Monster.com, a Quess company, said, “The start of FY23 showed positive hiring scales given the planned deployment of 5G and the resumption of several business segments across the country. . So far, the Indian labor market is doing well despite the current sober hiring sentiment. Recruiters have not reduced their ambitions to hire talent and there is most certainly an unmet demand in the market today. In terms of employment prospects, businesses will continue to grow, and we see this demand reflected in segments such as import/export, telecommunications, travel and hospitality and BFSI, which continue to grow thanks to growing digitization efforts.
Import/export industries see their demand for employment increase
Import/Export saw a 47 percent increase in job postings for talent, the largest increase ever in the past year for this segment. Highlighting a growth in digitalization, the survey added, “In line with the new wave of digitalization, cashless payments and digital money, job vacancies in BFSI (up 38%) remained stable, closely followed by Telecom/ISP (up 36%) which will see a further amplification of employment following the planned rollout of 5G in India.
Travel & Tourism (up 29%) showed a full recovery surpassing the marginal and even negative escalation patterns seen over the past four quarters. In fact, the segment has almost doubled in growth since the previous month (April) which recovered at 15% per year. That aside, with offices preparing to return to full-time work and the economy cautiously returning to pre-Covid norms, sectors such as office equipment/automation (up 101% ), real estate (up 25%) showed promising growth models. . Retail (up 11%) continues to hire with moderate growth this month.
On the other hand, after observing a decline since September 21, Media & Entertainment (down 19%) continues on a steep decline indicating a long road to post-pandemic recovery. Online recruitment activity contracted in engineering, cement, construction, iron/steel (down 9%), although a slight improvement was seen last month. Maritime transport (down 4%) also registered its first annual decline compared to the level of a year ago.
Level 2 markets mark a long-term recovery
City-specific data indicates that Coimbatore (up 27%) leads the rankings, once again outpacing the growth figures seen in India’s major metropolitan cities, followed by Mumbai (up 26 %). Delhi-NCR and Hyderabad recorded a 16% annual growth in employment opportunities, followed closely by the metropolitan cities of Chennai (up 15%), Pune (up 13%), Ahmedabad (up 15%), Bangalore (up 9%) and Kolkata (up 6%). The BFSI industry in particular once again saw significant hiring activity in major metropolitan cities, with the highest peak in Pune and Delhi-NCR.
Tier 2 labor markets continue to fuel promising employment patterns in May 2022 in Baroda, Chandigarh, Jaipur and Kolkata, reflecting annual demand growth in the range of 2-12%. Job creation in these locations continues to emerge steadily from the previous month, indicating a bullish outlook for job creation.
Roles of travel and tourism rise as India returns to old normal
With the removal of Covid-19 restrictions, tourism has picked up again, according to the survey. Hiring demand for travel and tourism professionals rose 27% for the third consecutive month due to limited travel restrictions and an improving economic recovery. Online job posting activity for finance and accounting (up 49%) and HR and administration (up 36%) led growth and is expected to continue to do so in the coming months. coming.
Online hiring for customer service roles (up 16%) has seen double-digit increases each year for the first time since the pandemic began. Additionally, software, hardware, telecommunications (up 13%), marketing and communications (up 11%), engineering/production (up 4%), healthcare (up up 3%) and Arts/Creative (up 5%) saw a positive trend in demand. compared to May 2020.
Among all occupation groups, Purchasing/Logistics/Supply Chain saw a marginal decline of 2% year-over-year with slight fluctuations in the number of hires over the past year.
The demand for freshmen at the same level as senior management
The survey added that in May 2022, online hiring activity for entry-level job seekers (0-3 years old) came in at par with demand for senior managers (over 16 years old). ) that experienced consecutive peak demand for several months. . Both levels of experience, as well as intermediate roles (4 to 6 years), saw a 19% increase on an annual basis. Demand for new talent continues to reign supreme across all sectors and is only expected to grow further, he adds.
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