Unemployment Rates Fall as Economic Activities Get Back on Track
Rural India, which was hit the most, reflects a dip in the hiring talent
Globally unlocking of economic activities and vaccine drive have boosted hiring intent in several regions. The USA's hiring intent rose by 14 per cent, and Europe’s by 12 per cent. APAC witnessed an improvement of 23 per cent, according to a report.
In India, the unemployment rates have fallen, following the ease of restrictions which resulted in an uptick in demand in auto sales, e-way bill collections, fuel, and power consumption. According to the Teamlease Employment Outlook Report, the GDP is expected to grow 8.4 - 10.1 per cent during 2020-21.
Many states saw their economies rise back up at the end of the first quarter, led by Tier 1 and Tier 2 cities.
Rural India, which was hit the most, reflects a dip in the hiring talent.
Small businesses and aggressive large enterprises ramp up capacity and resume operations, following the relaxation of restrictions.
Remote modes of hiring and talent engagement, work-from-home and hybrid models, and increased global demand, have enabled large enterprises to resume higher-capacity operations following unlock.
Campus recruitment is back on the track, as employers have resumed their campus visits, thereby increasing the demand for graduate and management trainees in Q2.
“With reduced unpredictability surrounding the economy, business employers are no longer looking to hire senior talent to steer them out of the Covid chaos. Hiring intent for leadership talent drops marginally for the quarter,” states the report.
The growth in hiring intent for the sales function continues unabated.
“Businesses across sectors are looking to recoup lost revenues following the relaxation of restrictions during end-Q1. Hiring intent for Marketing does not seem to keep pace,” states the report.
There has been an increased demand for blue collar jobs as a large proportion of employers have been hiring on a quarterly basis.
According to the report, the top three hiring sectors are IT, e-commerce and technology startups, and telecommunications.
FMCG and Manufacturing, Engineering, and Infrastructure see a minimal increase in attrition.
Knowledge Process Outsourcing, Power and Energy, BPO / ITeS, Consulting, Media and Entertainment, Retail (Essential), Logistics and Retail (Non-Essential) see a significant lowering of attrition rates.