The survey reveals a notable shift towards new position hiring, which will constitute 27 percent of recruitment activities, compared to 23 percent for replacement hiring
Image for representational purposes only. Photo Courtesy: iStock
Genius Consultants Limited, the Andheri-based recruitment and staffing agency has conducted an extensive ‘Hiring, Compensation, and Attrition Management Survey’ to anticipate trends in the Indian job market for the fiscal year 2024-25. The survey offers a detailed forecast, highlighting key areas of focus and strategic adjustments expected in the coming year.
Hiring trends
The survey reveals a notable shift towards new position hiring, which will constitute 27 percent of recruitment activities, compared to 23 percent for replacement hiring. This emphasis on new roles underscores the industry's drive to meet evolving market demands and inject fresh talent.
ADVERTISEMENT
The focus on hiring employees with 4 to 8 years of experience is pronounced, with 32 percent of hiring dedicated to this group. In contrast, only 15 percent of major corporates and leading IT organisations are prioritising freshers, indicating a potential setback for entry-level professionals despite ongoing efforts to nurture young talent.
Employment flexibility
Diverse employment types are set to play a significant role in FY 2024-25. Non-contractual temporary roles are expected to account for 27 percent of hiring, fixed-term contracts for 25 percent, gig-staffing for 24 percent, and permanent positions for 24 percent. This distribution highlights a strategic move towards flexible staffing to address both short-term project needs and long-term organisational goals. The market's growing preference for flexi and contractual staffing, observed in FY 2023-24, continues into the new fiscal year.
Diversity and inclusion initiatives
Diversity and inclusion remain critical focus areas. The survey predicts a recruitment ratio of 60 percent male and 40 percent female candidates, with an additional 29 percent of organisations aiming for equal gender representation. Furthermore, 53 percent of organisations are incorporating non-binary candidates, albeit in small percentages (0.0 percent - 0.4 percent), reflecting the ongoing positive impact of diversity, equity and inclusion (DEI) initiatives.
Regional hiring trends
Regionally, the East zone of India is expected to lead in hiring with a 34 percent share, followed by the West and South zones at 25 percent and 21 percent, respectively. This regional diversity underscores the opportunity to tap into varied talent pools across the country, enabling organisations to leverage regional strengths and capabilities.
Manpower strength and salary increments
The survey indicates that 36 percent of organisations do not plan to increase their current manpower, while 25 percent project a 10-15 percent growth in their workforce. This retention-focused approach aligns with the anticipated salary increments. About 29 percent of organisations plan to offer 5-7 percent increments, while 20 percent foresee 7- 10 percent increments, primarily for mid-senior and senior-level employees. Conversely, 22 percent of organisations are expected to provide less than 5 percent increments, highlighting the economic challenges expected in the coming year.
Attrition trends
Attrition remains a significant concern, with 39 percent of organisations expecting a 5-10 percent attrition rate, and 20 percent anticipating a 10-20 percent rate. Factors such as work-from-home facilities, AI technology integration, and the desire for work-life balance are driving this attrition. Mid-senior level employees are particularly susceptible, prompting organisations to consider higher increments to mitigate turnover. Regionally, the North zone is predicted to experience the highest attrition (36 percent), followed by the West and East zones (22 percent each).
Recruitment channels and industry focus
To meet hiring needs, companies are increasingly turning to consultants and workforce solution providers (16 percent), and AI-based apps and websites (14 percent). The focus on technology underscores its growing importance in the workforce industry. The highest recruitment drives are expected in IT, engineering, electrical and automation engineering and civil engineering fields, with 18 percent and 13 percent respectively, emphasising the industry's shift towards technical and IT roles.
R P Yadav, CMD of Genius Consultants Limited, highlighted the industry's strong focus on new position hiring, which is crucial for market demand and innovation. The rise in flexible and temporary staffing allows organisations to adapt quickly to market changes and project-specific needs, reflecting a commitment to proactive expansion and job creation rather than merely addressing attrition.
Subscribe today by clicking the link and stay updated with the latest news!" Click here!
