Bangalore: The employment and business outlook indicates signs of revival with the net employment outlook index at 46% and the net business outlook index at 26% for the coming quarter from July to September 2009.
The net employment index is 22% up while the net business index indicates an increase of 26% compared to the previous quarter. The net business index was negative last quarter according to The Employment Outlook Report for July-September 2009 drafted by TeamLease Services, a leading staffing company.
Among the sectors covered in terms of employment there is an increase in all the sectors except ITES. The telecom sector has 55 points, which is the highest, followed by IT and infrastructure with 53 points, the report said.
Amongst the cities, there is an increase in the employment outlook index points of all the cities. The index points of Chennai increased most by 37 points followed by Delhi and Pune by 33 points and Hyderabad by 28 points, the report said.
In terms of the business outlook, there was an increase in the index points of all cities with Pune having the highest increase by 47 points.
The “hiring intention” continued to show a steady increase across most functions, except marketing.
There is a decrease in the intention to hire at all managerial levels, except senior levels.
During the past three months as well as the last one year, Hyderabad, Chennai and Bangalore had the highest attrition rates compared to other cities while Kolkata had the lowest.
The financial services had the lowest attrition rate in the past months at 5% while pharma had the lowest attrition rate in the past one year at 7%.
The report is a quarterly report prepared through a survey administered to HR heads, CEOs and senior management of leading companies. The report covers 495 companies.
According to the TeamLease Services Private Ltd GM Surabhi Mathur-Gandhi, “with the stabilisation of economies and optimism in global expansion, there is a direct positive implication for the Indian employment situation. We are observing a slow and steady upsurge in the hiring intent across sectors. The advent of new players and aggressive expansion of large telecom giants has seen a bullish outlook for the industry with a promise of exponential growth”.
City specific highlights of Bangalore show that the city showed an increase of 9 points in the net employment outlook compared to the last quarter and an 18 point increase in the net business outlook.
Attrition rate is the highest in Bangalore as compared to other cities over last year at 23%.