At a time when thousands of jobs are lost worldwide,India Inc seem to be bullish on recruitment,with more than 60 per cent of companies still going ahead with their hiring plans.
Moreover,the survey by global HR firm Hewitt Associates shows that just 12.6 per cent of firms are considering layoffs.
The findings are part of the HR firm’s ‘annual salary increase survey’ released here today. It was conducted from December 2008 to the end of January.
About 480 companies spread across diverse sectors were surveyed and out of them,nearly 60 per cent were multinational entities.
“More than 60 per cent of companies in India are still hiring,and nine out of every ten companies are still giving promotions,” Hewitt said in a statement.
Meanwhile,the survey said that about 37.3 per cent of companies in India are taking the action of hiring freeze.
And the figure is much less than in China (63.3 per cent).
Striking a cautious note,the survey pointed out that even though only 12.6 per cent of firms in India are considering layoffs,the figure is likely to rise.
“Importantly,the number of companies considering layoffs is expected to increase further,” the statement noted.
The data for other countries has been collected over November 2008 while for India,the same was gathered from December 2008,it added.
Meanwhile,the survey showed that India is expected to see a salary rise of 8.2 per cent in 2009,the highest in the Asia Pacific region.
Hewitt noted that the attrition rate in companies in India has come down drastically in the last six to eight months.
“Attrition among the firms in India has declined significantly. In recent times,the rate has come down to around 9 to 11 per cent as compared to 18 to 20 per cent in the last six to eight months,” Sandeep Chaudhary,the leader of Hewitt’s Performance and Rewards Consulting Practice (India) said.
According to Hewitt,only 12.6 per cent companies in India are considering layoffs whereas the same is at 55 per cent in the US.
Among other nations,about 32.4 per cent of Australian firms are mulling over layoffs,China (30.6 per cent),Hong Kong (25.6 per cent),New Zealand (23.1 per cent) and Japan (17 per cent).