Archives- News Updates On October

India’s hiring market to see 2.3 lakh new jobs in this quarter

According to global consultancy Ernst & Young, it is expected that the Indian market is likely to have 2.3 lakh new jobs in the quarter from October to December. This job creation will be seen in the sectors of healthcare, real estate, IT/ITeS, education & training, manufacturing and Banking, Financial Services and Insurance (BFSI). The healthcare sector is expected to create 60000 jobs while real estate and IT/ITES sector 50000 each.

Source: economictimes.indiatimes.com, October 31, 2010. “India likely to see 2.3 lakh new jobs in Q4: E&Y”

College staff at Chandigarh demands pay hike

In the union territory of Chandigarh, a joint action committee (JAC) of teaching and non-teaching staff of all seven govt-aided colleges called for a protest while raising the demand of new pay scales and payment of arrears. This protest was addressed by presidents and secretaries of all seven colleges’ teaching and non-teaching staff. The association decided to hold a protest on November 2 if their demands are not fulfilled.

Source: timesofindia.indiatimes.com, October 29, 2010. “College staff seeks new pay scales”

Tech companies test new tools to retain talent

The soaring Indian economy has taken its toll on the talent base of IT companies, prompting them to fight more aggressively against high attrition. Retention being the major focus for most of the tech companies, they are using the time tested tools for retention of talent such as wage hikes and stock options. The attrition rate has gone higher in most of the IT companies in the second quarter. However, companies contend that employee re-branding and hiring new talent remains a second option as well.

Source: www.thehindubusinessline.com, October 29, 2010. “Tech firms turn focus on talent retention”

Government staffers to have incentive-based structure from next year

An incentive-based salary structure as recommended by the sixth pay commission can be implemented by next year for government staff. The secretary in performance management department Prajapati Trivedi said this at the annual economic editors’ conference. The incentives paid to the officials will be given out from the cost savings achieved by them and will not act as an additional financial burden on the government. The performance reviewing will be done mid-year giving an idea of the possible incentives..

Source: economictimes.indiatimes.com, October 27, 2010. “Incentive system for govt staffers next year: Secy”

Rajasthan recruits 57000 teachers at PRI level

Chief Minister of Rajasthan Ashok Gehlot said that they have started the process of recruiting around 50000 teachers of grade three and other 7000 posts at panchayat level.  He added that state government has decided to transfer power of five departments to Panchayati Raj Institutions (PRIs). The state government also declared bonus for its staff in the coming festive season.

Source: economictimes.indiatimes.com, October 26, 2010. “Recruitment for 57,000 posts in PRIs starts in Rajasthan: CM”

Banking sector on a roll as PSU banks to hire in thousands

Public sector banks are on hiring spree and are expected to recruit around 85000 staff in the next three years.  The government has published in a background paper for Economic Editors’ Conference the steps required to overcome the manpower shortage in PSBs. This includes a plan to recruit about 34000 officers and 51000 clerks until 2013. The government has decided to entrust the responsibility of recruitment to the Institute of banking personnel selection (IBPS).

Source: www.business-standard.com, October 26, 2010. “PSU banks to recruit 85,000 staff in next 3 years”

Indian law firms making a mark globally

Indian law firms are proving their mettle in the global market and are counted among the best in the world. As per a report by Dealogic Global Investment Banking, three domestic firms have made their place in the top 10 ranks of legal advisors to global deals. Luthra & Luthra has retained its No. 1 position while India Law Services secured No. 3 position. According to Rajiv Luthra, founder and managing partner of Luthra & Luthra, in the coming decade more number of domestic legal firms will be added to the top list as they continue to attract the finest talent into the industry.

Source: timesofindia.indiatimes.com, October 25, 2010. “Indian law firms still on top in global ranking: Survey”

Proposal to cover NREGA workers under Minimum Wages Act

The National Advisory Council (NAC) has made a proposal of the Central Employment Guarantee Council (CEGC) that workers under MGNREGA be covered under the Minimum Wages Act. This issue has been taken up by state governments to the Centre and they are of the view that the Centre should pay the excess sum to meet the minimum wages. Also, the NAC has asked fro an amendment in the law to allow outside parties to do a social audit of the NREGS.

Source: timesofindia.indiatimes.com, October 25, 2010. “Minimum Wages Act for NGNREGA too: NAC”

TCS to recruit 30000 students across campuses this year

IT companies are coming back in hiring action at university campuses this year in the wake of robust growth in the sector. Tata Consultancy Services (TCS) has plans to hire 30000 students this year through campus hiring. One of the reasons the hiring trend is going up is that companies are witnessing a high rate of attrition at this time and are in dire need of getting talent in to the organization.

Source: economictimes.indiatimes.com, October 23, 2010. “Campus hirings pick up, TCS to recruit 30,000”

32000 prospective jobs to come up in the financial sector

As per the estimates of the National Institute of Securities Markets (NISM), thousands of entry level jobs are coming up in the financial markets. The report says that around 6900 companies involved in stock broking, asset management, portfolio management services, investment banking, insurance, private equity/venture capital, and distribution are looking out for employees in entry level jobs. Most of the financial institutes are looking to fill positions across a broad range of categories in the financial domain.

Source: economictimes.indiatimes.com, October 22, 2010. “Financial markets open up 32,000 entry-level jobs” 

Revised minimum wages in Rajasthan to be implemented from Jan 2011

The government of Rajasthan has issued a notification no. F5(6)MW/Lab/2002/part dated 14.10.2010 concerned with revising state minimum wages. The government has specified that these minimum wages will be enforceable from January 1, 2011. The revised minimum wages for all schedule of employment will be as follows:

Unkilled           Rs.135/per day    Rs.3510/ per month

Semi-Skilled     Rs.145/per day    Rs.3770/per Month

Skilled             Rs.155/per day    Rs.4030/per Month

Highly Skilled    Rs. 205/per day    Rs.5330/per month

Source: ibnlive.in.com, October 21, 2010. “Rajasthan raises labourers'' minimum wages”

Madhya Pradesh government unveils industrial promotion policy

A new industrial policy known as Industrial Promotion Policy 2010 was today announced by Madhya Pradesh government. The policy defines rules and regulations framed by state machinery for upcoming industries. As per this policy, it will be mandatory for upcoming industries to reserve 50 percent direct jobs for local people. Also, special incentives, grants and sops will be provided to companies that offer jobs to locals.

Source: www.business-standard.com, October 20, 2010. “Madhya Pradesh's new industrial policy”

Indian companies tread cautiously on hiring

A report by staffing firm TeamLease based on a survey among 624 HR managers and senior management officials revealed that Indian companies are hiring cautiously in spite of bright business prospects. As per the employment report of quarter October-December 2010, the employment outlook has increased by 4 percent and business outlook has increased by 10 percent, which earlier used to be at par with each other. Another reason behind the hiring gap is that companies are giving more importance to productivity and efficiency.

Source: economictimes.indiatimes.com, October 19, 2010. “India Inc bullish about business; cautious on hiring”

DA hike for Goa government employees

With the hike in dearness allowance (DA) for central government employees declared last month, state government of Goa has also decided to hike the DA of their staff by 10 percent to bring them at par. This hike will be effective from July 2010. However, Class ‘C’ and ‘D’ employees will get a bonus of Rs. 3500.

Source: timesofindia.indiatimes.com, October 19, 2010. “Govt staff to get 10% hike in DA”

Employment generation makes an upward move

As per an official survey conducted by the ministry of labour and employment, there is an upward trend in employment generation in the market around 13.58 lakh jobs were created over the last one year. In the survey period of April-June 2010, it was found that overall level of employment has increased. This survey covered sectors like textiles and apparels, leather, metals, automobiles, gems and jewellery, transport, IT/BPO and handloom/powerloom across 11 states and union territories and found that highest jobs were created in IT/BPO sector.

Source: economictimes.indiatimes.com, October 18, 2010. “Survey shows upward trend in job growth”

PSU insurance companies revise salary for employees

Along with the approaching festive season, there is more good news for two lakh employees of public sector insurance companies as the govt approved their salary hike. The finance ministry has approved a salary rise of 17-18 percent for the employees of the insurance sector. This hike will bring the pay scale of these employees close to central government employees after getting 10 percent dearness allowance and will be applicable from August 2007.

Source: economictimes.indiatimes.com, October 16, 2010. “PSU insurance staffers get 18% pay hike”

Placement of management professionals on a rise in PSUs

A survey conducted by Dun &amp has revealed that the public sector has also increased its pace in recruitment of management professionals. The company has surveyed 168 universities and business schools in India. The percentage increase in recruitment of management professionals by PSUs has turned out to be 7 percent in 2009 in comparison to 4 percent in 2007. Private sector has always been a major recruiter in the market but now public sector is aggressively moving forward, reflecting the economic growth of the country.

Source: economictimes.indiatimes.com, October 15, 2010. “'Recruitment of mgmt professionals in PSUs rises to 7%'”

LMC staff on strike due to lack of financial benefits

Lucknow Municipal Corporation (LMC) employees are on a strike due to non fulfillment of various financial benefits assured by the state government. Besides, there is a huge payment due of municipal employees which has arised out of revision of their salaries as per the Sixth Pay Commission. The striking employees have also demanded setting up a special cell for pensioners.

Source: timesofindia.indiatimes.com, October 15, 2010. “LMC employees on strike, seek financial benefits”

LIC employees get a wage hike in line with banks

Life Insurance Corporation (LIC) employees have finally got themselves a wage hike of 17.5 percent. This is largely in line with what was offered to PSU bank employees while not fulfilling the expectations of unions as they expected the hike to be of 23 percent. Also unlike most of the public sector banks, LIC employees have not been given a second pension option as most have already exercised the option. This hike would have a retrospective effective from August 2007.

Source: www.business-standard.com, October 14, 2010. “LIC employees to get 17.5% wage hike”

Indian workers are the most frequent job hoppers

According to a Workmonitor survey conducted by Ma Foi Ranstad in 25 countries across the globe, the Global Mobility Index score of India is the highest. Every 8 employee out of 10 is likely to move to another organization for faster and better career development. The score index of India is highest at 141 followed by China. The report says that employees of the age group 25-34 are most likely to move to other jobs. The report also suggests that employees are more satisfied with organizations with good development plans.

Source: www.indianexpress.com, October 13, 2010. “'Job hopping rate highest in India'”

Job opportunities emerging in steel sector

With the domestic market showing an upward growth momentum, the steel industry is emerging as a big job creator. With rising prices and increased production in the steel sector, the need for manpower is also going up and as a result companies are looking forward for hiring in this sector. The rise in domestic demand is a key driver of these changes in the industry dynamics.

Source: economictimes.indiatimes.com, October 13, 2010. “Job opportunities are opening up in steel sector”

Top IT companies back in hiring mode

IT companies have drawn up aggressive plans to hire as many as 90000 new employees over the year as strong demand for new projects continues unabated. Top IT companies such as Tata Consultancy Services, Infosys and Wipro have shown optimism towards hiring and increasing bench strength in view of future requirements. Companies are set to recruit the highest number of people since the recession period. 

Source: economictimes.indiatimes.com, October 12, 2010. “IT biggies vroom back on job street”

Programmes to train Punjab youth for IT jobs

Punjab Infotech and Infosys have supported an initiative of the department of higher education for training 48 lecturers of 25 colleges under the project named as “Genesis” which is “Train the Trainer” programme. This training will help to equip the teaching faculty to train students the specific skills required in the IT industry. This is part of an initiative by the Punjab government to increase employability of students.

Source: www.financialexpress.com, October 11, 2010. “Punjab to prepare youth for ITeS industry”

North India facing a shortage of doctors

In a state level silver jubilee conference of Karnataka Government Medical Officers Association, Keshav Desiraju, Additional Secretary to Union health and family welfare department, said that northern states in India are facing a high crunch of doctors. States like Rajasthan and Kashmir have acute shortage of medical infrastructure as doctors are generally not ready to serve in rural areas. However, efforts made by the government like revision in salary and regularization of jobs will help to bridge the gap.

Source: timesofindia.indiatimes.com, October 10, 2010. “'There's a shortage of docs'”

Companies resorting to anti-competitive hiring practices

With a high attrition rate seen in many sectors, companies are opting for anti-competitive hiring practices as a matter of policy. This is done to refrain from hiring employees of each other to avoid high attrition. Experts have noted that anti-competitive recruitment activities are seen in diverse sectors including BFSI (Banking Financial Services and Insurance) and IT. In some cases, this practice can also hamper the career growth of an individual.

Source: www.financialexpress.com, October 10, 2010. “'Many cos resort to anti-competitive hiring practices'”

IT sector hiring at pre-recession pace

After the severe recession and a break down seen in the job market, the IT sector scenario has not only revived but has attained the stage seen before the recession. As per the online job index naukri.com, IT sector has risen by 45 percent in September this year. Hiring activities are back in action as the IT companies are gaining multiple projects from domestic as well as international market after the slow down. Most of the IT companies have indicated that more jobs will be coming up in second half of 2010.

Source: www.financialexpress.com, October 8, 2010. “IT recruitment logs pre-recession levels”

Indian companies on a hiring spree compared to global peers

As per a survey conducted by workplace solutions provider Regus across more than 10000 companies in 78 countries, it was seen that over one third (36 percent) of the companies are inclined to raise their manpower in the year 2011. Amongst them, Indian companies have been most optimistic (38 percent) for hiring staff in the coming year.

Source: economictimes.indiatimes.com, October 7, 2010. “Indian companies more keen to hire staff than global peers”

Uttar Pradesh power staff protests non- payment of wages

The employees of the power sector under the banner of Uttar Pradesh Bijli Karmachari Sangh, went on a token strike against the non-payment of wages to contract employees since May this year. The agitation was also due to a reduction in the number of employees in the power department. Divisional secretary of the union Abdul Aariz claimed that the officials are adopting unfair practices to make money.

Source: timesofindia.indiatimes.com, October 6, 2010. “Power staff protests against delayed wages”

Banks on hiring mode for the current year

Public sector banks are on a high recruitment drive this year and it is estimated that around 15000-20000 vacancies are to be filled by this year-end. According to the data by Indian Institute of Banking Finance (IIBF), in last three years over 1.25 lakh persons were recruited by public sector banks. Reasons like expansion plans, retirement of officials and high rate of attrition contributed to the same. According to estimates of National Skill Development Corporation, over 40 lakh people are required in the banking and financial sector by 2020.

Source: www.thehindubusinessline.com, October 5, 2010. “Banks back to hiring” 

New IITs face shortage of faculty

After the establishment of seven new IITs three years ago, the institutes are yet to find faculty and are facing a staff crunch. They are not able to attract appropriate number of faculty as per the number sanctioned by the HRD ministry. Among the many reasons for this is that the young PhD fellows look for opportunities in more established institutes than joining new ones. Also, as many of the new IITs are still working in temporary campuses, the faculty is hesitant to joining there.

Source: economictimes.indiatimes.com, October 4, 2010. “New IITs hit by teacher shortage”

CWG to create over five lakh jobs: Assocham

The Associated Chambers of Commerce and Industry of India (Assocham) has prepared a report which states that Commonwealth Games (CWG) will create over 5 lakh jobs in India. These jobs will be mostly in sectors like aviation, hospitality, civil engineering, medical and eco-tourism. In addition to this report, the chamber suggests that revamping of Delhi and Mumbai international airports will create 2.5 lakh jobs. Also jobs in unorganized sector are coming up due to activities like promotions and sponsorship for CWG.

Source: economictimes.indiatimes.com, October 4, 2010. “CWG all set to create over five lakh jobs”

Indian talent in demand in Germany

Niedersachsen Chief Minister David McAllister in his interview to IANS said that there is a huge demand for talented Indian workers in Germany. He said that appropriate visas will not be a problem for such workers despite stringent immigration rules. He added that they are also interested in more Indian investment coming in to Germany. He also welcomed students who wanted to opt for education in Germany citing easy availability visas.

Source: economictimes.indiatimes.com, October 4, 2010. “Germany wants talented Indian workers”

Contract labour to be brought at par with permanent employees

In a conference of all stakeholders next month the Central government plans to bring the 130 million contract labour at par with permanent employees. A proposal made by the labour ministry states enacting labour laws for contract employees which will provide them same benefits as permanent employees except the security of tenure. As per the proposal to be put forward to a tripartite committee, contract labour should also be provided with benefits including equal wages, provident fund, ESI (health insurance), holidays, hours of work and other privileges.

Source: economictimes.indiatimes.com, October 4, 2010. “Contract labour law: Convincing workers, employers key”