The great Indian talent war is on: 86% of professionals will be looking for new jobs in the next 6 months, according to a survey
The growing demand for talent across industries is giving The Great Reshuffle, or India’s avatar of the Great Resignation, a boost all its own. Rather than dropping out of the job market altogether, as is the case in the United States, more people are exploring new opportunities. A survey by Aon India shows that attrition in 2021 was 21%, the highest since 2003. The main reasons for this were limited growth opportunities within the organization; employees felt stagnant.
Another study by Michael Page indicates that around 86% of Indian professionals will be looking for new jobs in the next six months and those who do recruit will struggle to meet salary expectations.
Retaining people, too, will be a challenge. As Jang Bahadur Singh, Director of Aon, explains, if around 30-35% of the workforce is recruited from outside, the demographic composition of the organization changes. “Given the market situation, companies are recruiting talent at far higher salaries than they are paying to existing teams. It leads to dissatisfaction and also fuels attrition,” Singh said.
Even as they consider new opportunities, today’s professionals seek a better work-life balance. So while salaries and bonuses are motivating factors, 61% of respondents said they would accept a lower salary or even forgo a promotion if it meant a better work-life balance. private.
Retaining talent is a challenge, according to S Venkatesh, group president (HR) of RPG Enterprises. “It’s not just in the service sector, there’s a reluctance on the part of manufacturing professionals to go back to the metros,” Venkatesh told FE.
Churn, as Ankit Agarwala, Managing Director of Michael Page India, explains, manifests itself in several ways. For example, the IT industry typically recruits talent for HR and finance positions in other industries. However, the exceptionally high growth of this space has resulted in a significant need for HR and finance professionals, leaving other sectors short of these key resources.
Attrition within the IT sector itself is high. Infosys said after its Q4FY22 results, company attrition was 27.7% (12 months leak). was in a much better position with an attrition of 0.4%. The increasing digitization of businesses, across industries, over the past few years has driven the need for technology professionals, and unsurprisingly, the IT sector has been a major catchment area.
According to HR experts, much of the movement in the job market continues to be in technology and analytics, with e-commerce and online retail seeing rapid growth.
Companies are now mobilizing to ensure a better quality of life for their employees. RPG Group, for example, has announced a perpetual work-from-home (WFH) policy. Depending on the nature of the job, the company offers employees the option of working from home for up to 50% of working hours. Certain categories of employees are even eligible for 100% WFH. In a first for a manufacturing facility, CEAT has introduced a five-day week at factories.
Ericsson, the networking and telecommunications leader, is focusing on employee reskilling and development opportunities as a way to retain talent, in addition to making a hybrid work culture permanent. Priyanka Anand, Head of Human Resources and Vice President, Southeast Asia, Oceania and India, Ericsson, said the goal was to attract and retain top talent through multiple initiatives, platforms and tools. “Our ‘Degree’ distance learning platform allows employees to access various online courses from anywhere at any time. New initiatives such as the Digital Academy, 5G Academy and RISE UP are helping prepare the workforce for the future,” said Anand.
RPG’s Venkatesh said it was important to be aware of the attrition issue and act quickly. “Our leadership team is encouraged to reward deserving employees with promotions and higher pay, and not wait for the ‘right’ moment,” he said.