Despite the decrease in job opportunities in the IT (Hardware and Software) sector over the last year, salaries have risen significantly across all experience levels, with a notable 59% incline among associates (4-6 years of experience) and a 36% uptick among mid-senior level roles (7 – 10 years of experience), according to a monthly analysis of online job posting activity conducted by foundit.in.
While hiring activity has declined 3 per cent month-on-month in August 2023 and 5 per cent on year, shipping as travel and tourism witnessed a spike in hiring demand.
Although IT- Hardware, Software (-17%) sector registered an annual dip, the positive monthly growth of 2 per cent is the result of the rise in skill-based hiring.
In the IT space, companies are increasingly focusing on retaining and upskilling current talent. The telecom sector also fared well, with a 19% salary hike among associates and senior management (11 – 15 years of experience).
On a year-on-year (Y-o-Y) basis, the Shipping (+58%) industry showed the maximum incline in job postings, followed by Travel & Tourism (+44%) and Advertising, Market Research, and Public Relations (+22%).
"The notable growth in the Indian shipping industry can be attributed to robust export expansion, particularly in engineering goods, petroleum products, gems and jewellery, and chemicals. This growth is further fueled by significant improvements in dwell time and turnaround time, positioning the Indian shipping sector favourably in comparison to its global counterparts," said the report.
Also, Travel & Tourism (+44%) saw tremendous annual growth owing to the G20 summit in India.
Additionally, Engineering/Production positions (+11%) experienced a spike in demand, possibly due to the expansion of import substitution and export potential, as well as high global demand for Indian goods.
The Retail sector also witnessed a rise in e-recruitment activity by 21% this August with the onset of the festive season.
There is also a 17% increase in job listings within the NGO/Social Services sector. This surge can be attributed to the growing philanthropic initiatives among India Inc's leadership, the augmented CSR investments made by corporations, and the integration of technology into social innovation practices.
The Home Appliances industry continues to struggle, with a 26% drop in job posting activity online, followed by Media & Entertainment (-18%) and IT - Hardware, Software (-17%).
While Y-o-Y data in the IT industry shows a downward trend, month-over-month data offers a more encouraging story with signs of steady improvement.
Within the entertainment sector, the drop can be attributed to the intensifying free streaming competition on the OTT market as well as fewer people visiting movie theatres compared to the year before.
There was a downward trend in hiring for Customer Service positions (-24%), followed by Senior Management positions (-13%) and Arts/Creative positions (-13%). Hiring for Software, Hardware, Telecom as well as Supply Chain roles also saw subdued demand over the month.
Among tier-2 cities, Kolkata (+7%), Ahmedabad (+5%), Baroda (+4%), Jaipur (+4%), and Kochi (+3%) exhibited a positive incline in job activity in August 2023.
"As the employment environment in India evolves, Tier-2 cities are becoming important hubs for luring top talent due to the rising popularity of remote work practices, improved upskilling opportunities and the rise of different industrial sectors in these areas," noted the report.
However, a majority of metro cities noted a marginal decline in hiring activity. While Bangalore saw a 16% dip, Hyderabad noted a 14% drop in job postings, followed by Mumbai at 9% and Chennai at 8%.
"Notably, India Inc. is increasingly pursuing fresh talent, with the tracker registering a significant 7% year-on-year surge in fresher hiring. The newcomers of today are adaptable to the evolving technological landscape," said Sekhar Garisa, CEO, foundit (previously Monster APAC).