The Naukri JobSpeak Index for October’20, at 1759, remains flat in hiring activity as compared to September’20, at 1755. However, at a Y-O-Y level, the overall hiring is still down by 17% in October’20.
Naukri JobSpeak Index (M-O-M)
The IT-Software/Services sector grew by 7% in Oct’20 Vs Sept’20 as the pandemic pushes for a virtual and digitally enabled world. Hospitality/Travel & Retail sectors which were reeling under the impact of lockdowns have started showing recovery with a 33% & 12% growth Vs last month on the back of festive cheer. With consumption on the rise in the market, we also see an uptick in the hiring activity in Consumer Durables (4%) & Advertising /PR (14%) sectors. Amongst key industries, BPO (-5%), & BFSI (-4%) declined marginally in hiring while the Education/Teaching and Auto/Ancillary sectors were flat versus last month.
The demand for professionals in the Ticketing/Travel/Airlines and Hospitality sectors saw an incline of 35% and 28% respectively in October’20 versus last month. Additionally, hiring for professionals in the Entertainment business especially TV/Film Production (17%) as well as Web/Graphic Designers (17%), Finance (7%) and Sales/ Business Development (6%) roles saw an uptick sequentially.
Bengaluru (8%) and Chennai (6%) led the sequential recovery amongst key cities followed by Kochi (9%) and Coimbatore (5%) from the Tier-2 city cluster while Kolkata (-4%) and Ahmedabad (-6%) declined in hiring in October’20 versus last month.
Referring to the report, Pawan Goyal, Chief Business Officer, Naukri.com said, “Oct’20 sees slight improvement in Y-O-Y hiring activity due to lower bases last year on account of festivity. Interestingly, key sectors such as IT, BPO/ITES and BFSI are showing improvements in hiring sequentially. Sectors like Travel & Hospitality (+33%) and Retail (+13%) have also shown positive signs of growth sequentially given the festive cheer and better COVID recovery rates. 26% recruiters feel that the hiring activity will return to pre-COVID levels in the next three to six months as per our recently concluded Hiring Outlook survey. We are also hopeful of the same.”
Y-O-Y Hiring Deep-dive | Oct’20 versus Oct’19
Hiring activity in the month of Oct’ 20 declined by 17% versus last year. The slight improvement in the Oct’20 Y-O-Y growth (versus -23% in Sept’20 Y-O-Y) is owing to lower bases last year on account of Diwali.
The continued Y-O-Y growth of the Chemicals/Petrochemicals sector (+14% in Sept’20 and +30% in Oct’20) indicates manufacturers are adding new jobs as industries have started functioning with more capacity. In a clear sign of recovery, we see Y-O-Y growth rates turning flat in the Medical/Healthcare sector in Oct’20.
Industries such as Insurance (-2%), Pharma/Biotech (-6%), BPO/ITES (-9%) and Auto/Ancillary (-7%) remained less impacted in Y-O-Y hiring activity. In spite of monthly recovery, on a Y-O-Y basis, Hospitality/ Travel (-58%), Retail (-37%) and IT-Software (-23%) sectors continue to be the most impacted in Oct’20. The demand for professionals in Banking/Insurance (10%) and Purchase/Logistics (6%) roles saw an uptick in October’20 Y-O-Y.
Given the fluctuating intensity of the pandemic in metros, the recruitment activity in metros declined more than the national average (-23% vs -17%) in October’20 Y-O-Y. Mumbai (-28%), Hyderabad (-26%) and Chennai (-24%), led the decline in hiring in metros. Hiring in Chandigarh saw an uptick of +13% Y-O-Y while it remained flat in Kochi (+1%). Recruitment across the board declined at varying experience levels with the entry-level experience bands (0 to 3 yrs exp) witnessing the sharpest decline of 21% in October’20 as compared to last year same time.
The Naukri JobSpeak is a monthly Index that calculates and records hiring activity based on the job listings on Naukri.com website month on month. The objective of Naukri JobSpeak is to measure the hiring activity in various industries, cities, functional areas and experience levels. The data is compiled from the website wherein jobs posted by clients on Naukri.com are considered. Thus, the job speak index includes jobs that might be for replacement hiring. December 2008 is taken as the base with an index value of 1,000 and the subsequent monthly index is compared with the data for December 2008. The jobs analyzed for the monthly Index are qualified based on white-collar, urban, belonging to organized corporate sector jobs with the focus on service industries. The report shows hiring trends across industry sectors, geography, experience level, and functional areas. More than 76,000 clients use Naukri.com, leading to the high reliability of data. The report does not cover gig employment, hyperlocal hiring or campus placement. Over a long period of time, Naukri JobSpeak could be impacted by factors like internet penetration, Naukri market share, Naukri pricing and job listing drives.”