Hiring intent for manufacturing, services sector up 10 pc for Q1 of FY24: Report

Even as there is an ongoing global turmoil, hiring intentions in services and manufacturing sectors for the first quarter of 2023-24 are 10 per cent more than the year-ago period, a report said on Tuesday. According to the TeamLease Services' 'Employment Outlook Report' for the Services and Manufacturing sectors for Q1, FY24, despite the ongoing global turmoil, hiring intent in India has steadily increased over the past year.

In comparison to the same quarter in the previous year (April-June 2022-23), hiring intentions in the services and manufacturing sector in the first quarter of FY24 is 10 per cent higher as close to 64 per cent of employers the employers interviewed said they are keen to increase their resource pool across industries.

However, compared to the fourth quarter of FY23, the hiring outlook has witnessed a dip of 4 per cent.

The TeamLease Employment Outlook Report for the Services and Manufacturing sectors is based on a survey of 809 small, medium and large companies across 14 industries in India and covered non-white collar profiles.

According to the report, the first quarter is projecting a strong outlook, especially for entry and junior-level employees, in both Service (73 per cent and 71 per cent, respectively) and Manufacturing (49 per cent and 55 per cent, respectively) sectors.

The outlook for mid-level in services (54 per cent) and in manufacturing (32 per cent) is also balanced, the report stated.

From a business size perspective, large-sized organisations in the services (86 per cent) and manufacturing (73 per cent) sectors have weathered the recession well and have higher levels of hiring intent than in the previous quarter.

Across the two quarters and sizes of companies, the services sector has higher levels of hiring intent than the manufacturing sector, it noted.

"Industries around the world, including those in India, have been severely affected by the current global unrest, which has resulted in large-scale layoffs and hiring freeze.

"Despite this, hiring prospects in India have continued to improve over the past year, with 64 per cent of employers in the service and manufacturing industries expressing a positive outlook on hiring. The main reason for this is the changing global investment dynamics and the precautionary measures that businesses are taking," TeamLease Services CEO - Staffing, Kartik Narayan said.

The report revealed that job opportunities are positive in the services sectors in some of the key industries including Telecommunications (96 per cent), Financial Services (93 per cent), Ecommerce and Allied Start-ups (89 per cent), Retail (87 per cent) and Education Services (83 per cent).

While in the manufacturing sector, some of the prominent industries with high hiring intent are healthcare and pharmaceuticals (91 per cent), FMCG (89 per cent) as well as EV and infrastructure (73 per cent), it added.