The latest TeamLease Employment Outlook Report, shared exclusively with ET, showed that 38% of the companies surveyed intend to hire in this quarter, up from 34% in April-June, despite fears of a possible third wave of the Covid-19 pandemic. The numbers had plummeted to their lowest last year — to an average of 18% in the two successive quarters to September.
“There is a recovery in the intent to hire across all segments, as people are gradually coming out of the impact of the second wave and preparing for the future,” said Rituparna Chakraborty, executive vice-president,
. “Companies are cautious but they are adding manpower for future growth.”
Chief executives and economists ET spoke with said a combination of factors, such as easing of restrictions, uptick in consumption and rise in economic activity, are driving both white- and blue-collar employment generation.
“The job market is headed for considerable improvement,” said Mahendra Singhi, managing director, Dalmia Cement. “The government’s efforts at revving up economic activity, PLI (production-linked incentives) schemes for certain industries, new capex cycle starting in many sectors and growth in demand will lead to the need for more manpower. Most importantly, as a larger population is expected to get vaccinated by December, apprehensions will slowly go away.”
Every indicator shows the economy is poised to boom, said Niranjan Hiranandani, managing director, Hiranandani Group. “Agriculture is doing well, consumer demand has picked up, distribution networks are getting streamlined… despite all the negatives of the last couple of years, when the economy slowed down, there is scope for betterment in the months ahead,” he said.
Vaccination will play the most crucial role in economic recovery, keeping businesses and hiring plans on agrowth path, said business leaders and job market experts.
“Other than the sectors directly impacted by the pandemic, things have mostly normalised,” said Saugata Gupta, managing director, Marico. “The biggest factor will be the pace of vaccination in containing any further waves and keeping things on track.