Back11% growth in service sector pushes employability
11% growth in service sector pushes employability
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New Delhi: As admission process to Colleges and Universities goes underway, an ABB-Assocham study shows that the Indian economy is growing at a brisk pace of over 9%, throwing open opportunities in retail, aviation, hospitality, entertainment and brokerage.
Job opportunities in emerging sectors revealed that a wide information gap exists for students aspiring for rewarding careers, not just in IT and Management but also in numerous emerging fields.
Market scenario
The growth in economy is being led by the services sector as also the manufacturing sector which grew by 11% and 12.3% respectively.
IT-ITES sector is the biggest employment generator and has hired a work force of about 1.63 million as of March 2007. If trends are to be believed, it would continue to hire most aggressively.
Apart from the highly skilled engineering jobs, BPOs, KPOs and more recently Legal Process Outsourcing (LPOs) projections, the IT-ITES industry is expected to fall short of 5,000,000 technology professionals by 2010.
Job opportunities in emerging sectors by 2010
* Number of jobs in retail sector would be 2,000,000; in KPOs 250,000; BPOs 230,000; Hospitality 94,000
* BPO is a $9.5 billion industry and is likely to employ close to 2,300,000 people by 2010.
* Owing to soaring property prices in big cities, rising wages coupled with talent shortage and high attrition rates, BPO players are beginning to move their operations to tier II and tier III cities. Resultantly, a number of openings would come up in cities like Pune, Hyderabad, Jaipur and Chandigarh.
* Global companies are increasing their presence in KPOs following the BPO success in India. KPO industry is pegged at $3 billion and is expected to touch $10-12 billion by 2010. The players in the sector are seeking professionals for financial analysis, equity research, treasury operations, credit decision processes and accruals services among others. The segment is set to create 250,000 jobs by 2010, hiring workforce from a range of backgrounds from science, engineering, law, accounting, pharmaceuticals to technological streams.
* LPO, though at a nascent stage, is expected to grow fast due to a significant cost advantage in India. It would generate about 79,000 jobs by 2015. At present the processes being outsourced include patent application drafting, legal research, pre-litigation documentation, advising clients, analyzing drafted documents, writing software licensing agreements and drafting distribution agreement.
Trends that fuel demand
High consumer spending has spawned a huge interest in the retail sector, which is still 97% unorganized. As of today the Government allows FDI in single brand retail and Cash and Carry business. It is estimated that the sector will add $14 billion in terms of market size by 2010 to cross $21.5 billion.
As per the study, retail is expected to churn maximum number of job opportunities among upcoming fields after IT/ITES. Forecasts suggest that the sector may create 2,000,000 jobs by 2010 directly through retail operations.
With business travel increasing at a rapid pace and Commonwealth Games round the corner, hoteliers are in the expansion mode. The sector would need a fresh workforce of at least 94,000 by 2010-11. HR managers are seeking graduates from home science, commerce, physics and engineering to plug gaps and anticipated demand. Trained personnel are required for food and beverage, house keeping and front office and customer care.
Bollywood driven music industry including expanding reach of FM is leading to expansion of the entertainment sector in a big way. Besides, content creating firms for television have grown manifold. The animation industry has grown by over 30% on a yearly basis in the last three years and looks promising in the time to come as well. This sector will need 300,000 professionals by 2009.
Aviation sector in India is growing at a whopping 25% per annum, creating a large chunk of jobs. There is presently a shortage of trained pilots. The industry is expected to add 130 airliners to the current fleet of 270 airliners, which would in turn push up manpower demand. Plum posts include that of flight dispatchers, cabin crew, airline managers, airport managers and ground handling personnel. The industry would create 200,000 jobs by 2017.
Growing at more than 10% for the past three years, Financing, Insurance, Real Estate and Business Services have outpaced overall GDP growth. Consequently, there are abundant opportunities in finance and more will pour in the years to come. With investment and banking companies growing at a rapid pace there would be many vacancies in retail banking, asset management and financial management inter alia.
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