New Delhi: Job opportunities within NCR including Delhi and metros will weaken by 50% in the next three to four years as huge investments are being pumped in Tier II and III cities which are turning into ideal employment destinations for educated youth.
Preferred sectors for job seekers are construction, real estate, automobile and BPO, according to a forecast Paper on Rs.Emerging cities of India for job opportunities’ brought out by Assocham.
NCR and other metros are likely to be completely saturated by 2012 as by then property prices will witness tremendous appreciation which will amount to acute shortage of dwelling units. This will spread to other essential sectors such as power, water, public transport whose pressure will fall on entire infrastructure and make surviving costs, particularly for outsider extremely unaffordable.
The forecast also reveals that low cost housing for the rising population of Delhi in particular, which is expected to zoom upto 185 lakh from existing 140 lakh by 2012 will be a dream as it will require nearly 7 lakh dwelling units.
* Abundant career opportunities will emerge in smaller towns to inspire young people to stay back to enjoy local prospects as thousand of crores are spent by corporates and overseas investors in Tier II, III cities on which salary, perks and perquisites would be almost on par with those of metro cities including that of the National Capital Region (NCR)
* Large scale investments are being effected as a result of decentralisation of economic activities which cannot be expanded beyond a point in metros, especially that of Delhi because of space crunch and unaffordable living standards
* Cities like Delhi and other metros may be bypassed by career aspirants in preference for their native States
* Cities like Ahmedabad, Indore, Hyderabad, Pune, Nasik, Jamshedpur, Luckow and Meerut will see inflow of corporate investments pushing up the need for new jobs
* Other townships likely to come up in the job market include Chandigarh, Ludhiana, Jalandhar, Jaipur, Shimla, Solan, Allahabad and Deharadun
* With a view to cut operation cost by 15-20% and to escape exorbitant property prices in existing Tier I cities, BPO and IT companies from Delhi, Gurgaon, Noida are increasingly moving to cities and towns like Dehradun, Rishikesh, Chandigarh, Mohali, Shimla, Lucknow, Jaipur, Mathura in search of better infrastructure, state-of-the-art office space and availability of skilled manpower.
* Real estate players like Parsvnath, DLF, Emmar, Unitech, Omaxe are already flooded with their housing units in the northern region (Lucknow, Bhiwadi, Jaipur, Hapur, Haridwar, Rishikesh, Sonepat, Panipat)
* Realty trend in Tier I cities has reached near saturation point with yield gap witnessing significant margin of 9 - 10% while Tier II cities recorded yield gap of 10.5 - 11.5%. However, Tier III cities with 12% yield gap will reap maximum benefit from real estate developers and builders.
*Leading auto, electronics, food processing, retail, IT & ITeS, pharma and financial institutions are choosing these cities for their future investment plans and manufacturing base
* Establishment of SEZ, IT SEZ and food processing parks in these cities by leading players is an added advantage