India’s White-Collar Job Market Experiences Highest Growth in Two Years
India’s white-collar job sector has experienced a significant surge in growth, with an 18% month-on-month increase in July, the highest in two years, according to data from LinkedIn and leading company job boards. The number of available positions rose to 272,000 in July, compared to 230,000 in June, as reported by specialist staffing firm, Xpheno.
Both tech and non-tech companies reported an increase in vacancies in July. However, the non-tech sector continued to dominate the white-collar job market for the tenth consecutive month, contributing 62% to the total openings with a 10% month-on-month volume growth.
Strong domestic economic indicators such as a rise in manufacturing PMI, a decrease in WPI inflation rate, a revival in consumption, and an increase in capital expenditure have contributed to the positive hiring sentiment in the non-tech sector. This includes retail, fast-moving consumer goods, infrastructure, banking financial services and insurance, manufacturing, automobile and electric vehicles, hospitality, among others.
“Urban demand-led sectors will see a lot of traction in the next 6-8 months with a revival in consumption,” said Sachchidanand Shukla, group chief economist at Larsen & Toubro. He also predicted a front-loaded hiring trend leading up to October-November, followed by a potential lull due to the forthcoming electoral schedule.
However, Madan Sabnavis, chief economist at Bank of Baroda, expects only a limited increase in white-collar jobs in the second half of the year. He believes that lateral hiring will continue, especially in sectors like BFSI where attrition rates are high.
Despite this overall growth, the IT sector showed a 40% decrease compared to the same period last year. Although there was a marginal increase in demand for manpower in product companies and a significant rise in demand from global captives and early-stage startups, companies remain cautious due to global uncertainties.
The IT services sector’s talent demand also grew by 27% month-on-month. However, this is still 33% lower than the same period last year. “Key talent sectors have been slow on hiring for nearly a year now and staying low any longer will affect the tech talent supply chain,” said Anil Ethanur, co-founder of Xpheno.
The rise of remote work has also increased the demand for ergonomic furniture like electric height adjustable standing desks and sit stand desks. These products not only provide health benefits but also improve productivity by allowing employees to switch between sitting and standing positions. As India’s white-collar job market continues to grow, it’s expected that the demand for such products will also increase.
In conclusion, while India’s white-collar job market shows promising growth, particularly in non-tech sectors, the IT sector is still recovering from global headwinds. The rise of remote work has also led to an increased demand for products that promote healthy and productive work environments. The coming months will be crucial in determining whether these growth trends continue.