Companies bullish on hiring, face talent crunch: Survey

About 68 percent of employers are planning to recruit new people,

Last Updated: Jan 30, 2013, 16:22 PM IST

New Delhi: Majority of companies in the country plans to hire more people this year even though finding the right talent is becoming difficult, according to a survey.

About 68 percent of employers surveyed by leading job portal Naukri.Com are planning to recruit new people, with companies from IT and banking sectors emerging as the most optimistic lot.

According to the portal, 68 percent of recruiters said that new jobs would be created this year as compared to just 62 percent respondents expressing similar sentiment in July last year. The same stood at 72 percent in January 2012.

"While banking and IT sector recruiters have stated a positive hiring outlook for 2013, pharma and auto sectors have revealed low sentiments with only 59 percent and 52 percent opting for new jobs to be created," Naukri.Com said in a statement.

The findings are based on a survey of more than 1,200 employers across diverse sectors. The survey is twice in a year.

Meanwhile, 69 percent of recruiters said that talent crunch has intensified over the last few months.

"The concern was highest among Auto and Pharma sectors where 78 percent and 73 percent recruiters said that the talent crunch scenario has worsened over the years. 42 percent of respondents said that the maximum talent crunch was witnessed in the 4-8 years experience bracket," it said.

When it comes to pay increases, around 40 percent of the respondents said that hikes would be in the range of 10-15 percent. About 36 percent of those surveyed opined the raises would be in single digits.

"Lowest increments were predicted by banking sector employers where about 60 percent of them said that salary hikes in their organisation will be less than 10 percent in 2013," the statement noted.

Info Edge (India) Chief Financial Officer Ambarish Raghuvanshi said that while businesses are understandably cautious, improvements in government decision making, macro environment and financial markets should lead to a better hiring climate over the next few months. Naukri.Com is part of Info Edge.

"Owing to the uncertain economic environment, 63 percent recruiters say that attrition levels in their organisation is less than 10 percent as compared to 55 percent stating the same in July 12," the statement said.

In terms of hiring sentiment, recruiters from Hyderabad and Bangalore were most optimistic.