Key highlights: (Source: 2014-15 Michael Page Salary & Employment Forecast, India)
- 51% of employers surveyed expect attrition in the coming year while 70% plan to expand their team over this timeframe.
- 79% of employers surveyed indicate that women in their organisation are provided equal opportunity to progress to executive level roles
- 68% of surveyed employers use social media as part of the recruitment process, with LinkedIn the preferred platform according to 94%
Mumbai, September 24, 2014: With Indian companies now competing on an international scale, latest findings in the 2014/15 Michael Page India Salary & Employment Forecast confirm the prediction of high levels of growth in India’s employment market. With 70% of surveyed employers planning to expand their team and 45% of them indicating mid-level professionals will be in highest demand, an accelerated growth trajectory is foreseeable.
There is also an increased focus being placed on non-financial gains such as work/life balance and career development opportunities, as companies realise the value of developing employee skills and offering internal career opportunities. Senior level executives and Human Resources teams recognise the importance of retention strategies, with 51% of surveyed employers expecting staff turnover in the coming year. Companies are implementing full-fledged diversity programmes to ensure equal opportunity for candidates irrespective of their background or gender.
India has seen a rapid turnaround in business sentiment in the past few months, with the new government injecting optimism into the local employment market and well-defined goals in place to transform India into an attractive business destination.
Sébastien Hampartzoumian, Senior Managing Director, Michael Page India, says; “The domestic employment market is developing as employers recognise the importance of staff retention and focus on improving diversity among teams. This, in conjunction with a strong business market and demand for quality professionals, is propelling India to become a competitive employment market relative against a global scale. Organisations are focusing on broader geographical diversity, with Pune, Chennai and Jaipur emerging as key destinations, beyond the metros, for corporate India to strengthen their footprint”
Social media is also becoming an increasing popular talent sourcing tool among Indian firms with 68% of surveyed employers actively employing social media as part of the recruitment process. LinkedIn has evolved into the most favoured digital recruitment platform with 94% of employers surveyed actively using it.
The Michael Page team conducted a comprehensive survey across its four core disciplines – Finance and Accounting, Sales and Marketing, Human Resources and Banking and Financial Services – to identify significant hiring trends across sectors.
Finance and Accounting
According to the survey findings, there has been a steady strength of hiring activity in this sector compared to the last 12 months. High performers can continue to expect salary increments in the range of 18-20%. As multinational organisations venture into the local market, existing players are in the process of expanding their teams. In light of due diligence activity and ahead of expected merger and acquisition activity, there is a high demand for Financial Controllers with the skills to act as business partners in an organisation.
Sales and Marketing
Permanent headcount has increased over the last 12 months and is expected to pick up further in Sales and Marketing. Annual increments for sales and marketing professionals have been 12% on average in retail and healthcare & life sciences, while within FMCG, professionals have received slightly higher rises at around 12-15%.
There is high demand for innovative marketing professionals in the FMCG sector, as organisations develop new ways to reach out to their target consumers. In addition to this, reaching out to rural India is the need of the hour amongst these players. In the retail space, the influx of players from Europe, the UK and US, have led to high demand for professionals with operational and merchandising skills. In the healthcare and life sciences sectors, customer demand has grown leading to greater demand for Key Account Managers, while increased Government investment into healthcare has created more job opportunities for professionals in Government tendering roles.
Overall hiring activity within the Human Resources (HR) discipline has maintained a sense of stability. Salary levels have remained consistent over the past 12 months, with little difference between geographical locations. Most HR professionals prefer to receive a mix of financial and non-financial rewards. HR professionals in multi-site roles or those with an international remit are expected to receive above average salary increases in 2014, not only due to the broader scope of these roles but also because these professionals often have more experience, often including working overseas. As the job market continues its bullish trajectory, the last 12 months have experienced an increase in returning Indian talent.
Banking and Financial Services
The Banking and Financial services sector has witnessed a noticeable shift in hiring activity over the last few months with the introduction of new banking licences in 2014. Employers are also shifting their expansion focus to regions outside the main metros.
More value-add onshore roles are moving to India, Shared Services Centres (SSCs) relocating from Singapore to India, and additional foreign investment in the local banking sector have played a significant role in boosting hiring in this sector. Those with niche skills or in critical roles can expect a salary up to 25-35% higher in a new role, and a yearly increase of up to 15% in the same role.
The Michael Page India Salary & Employment Forecast 2014-15 identifies a welcome maturity in the employment market, with diversity and staff retention at the top of every employer’s agenda. Companies are implementing full-fledged diversity programmes to ensure equal opportunity for candidates irrespective of their background or gender. Retention strategies attached to non-financial gains such as work-life balance and career development opportunities have gained relevance as companies focus on building consistency within an organisation.
About the Salary & Employment Forecast 2014-15
Michael Page’s Salary & Employment Forecast report provides employers and jobseekers with useful insights into the hiring expectations, recruitment challenges and wage forecasts of hiring managers over the coming year. It covers four areas of specialisation: Finance & Accounting, Sales & Marketing, Human Resources and Banking & Financial Services.
The survey combines both quantitative and qualitative research derived from the national survey of employers and Michael Page’s extensive involvement in the professional labour market. This year, the survey was completed by employers across small, medium and large firms including both domestic Indian companies and MNCs while the accompanying market commentary is based on the experience and observations of the Michael Page team and based on - conversations held with clients across the specialist disciplines.
About Michael Page:
As part of PageGroup, Michael Page is a leading professional recruitment consultancy specialising in the recruitment of permanent, contract and temporary positions on behalf of the world’s top employers.
Michael Page launched operations in India in January 2011, in line with its commitment to grow the company’s footprint in the Asia region. Today, the business in India has grown organically and is now made up of more than 55 people working across two offices in Mumbai and Delhi (NCR). Within the India business, Michael Page’s experienced consultants specialise in the recruitment of middle to senior level professionals across Banking & Financial Services, Finance & Accounting, Sales & Marketing and Human Resources.