Manpower losing business, trimming workforce in India

Manpower losing business, trimming workforce in India
PTI
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First Published: Mon, Nov 17 2008. 07 24 PM IST
Updated: Mon, Nov 17 2008. 07 24 PM IST
New Delhi: A day after companies announced creation of over 50,000 new jobs in India, global recruitment and human resources consultancy major Manpower on Monday said it would trim its India workforce as business in the country has slowed down by 15-20%.
Manpower Global Chairman & CEO Jeffrey said the company, which has 35,000 employees worldwide including the 600 full-time employees in India, might go for a small trimming of its payrolls.
“But it would be less than 5% of our total global employee strength, though we have not fixed the exact number as yet,” he said.
The company believes although the Indian job market will not be affected to the extent in the US, it will be another year or so before it is able to stabilise.
“Our business in India, which is less than 1% of our global $21 billion business across the world, has witnessed a 15-20% decline due to current meltdown.
“This has been basically due to the reluctance of the ITeS sector to hire new manpower and also because of employee nervousness and natural hesitation to leave their current jobs,” Joerres said on the sidelines of the World Economic Forum’s India edition.
He said globally the company expects massive layoffs in sectors like finance, banking and ITeS.
Only yesterday a slew of companies, including SBI, MetLife and Maruti announced plans to hire in multiples of thousands, while Infosys announced today that it would stick to its target of recruiting 25,000.
Regarding India, he said MNCs are likely to adjust their staff strengths, but a reduction in employee numbers will not be as big as in the western nations. He said Manpower’s own business in India might not see the 60-70 per cent growth the company reported in 2007.
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First Published: Mon, Nov 17 2008. 07 24 PM IST