Hiring activity kicks off on a stable note in 2023: Naukri JobSpeak Jan’23
Robust growth in Non-IT sectors like Insurance and Banking
The New Year begins on a cautiously optimistic note as Naukri JobSpeak, the country’s premier job index, emerged at 2762 tabling a 2% growth in Jan’23 compared to 2716 in Jan’22. The Indian job market continues to show resilience and stability. The 2% growth is noteworthy as it has been recorded despite a 25% decline in IT sector hiring. The dip in IT sector hiring has been more or less compensated by a hiring spree in the Non-IT sectors such as Insurance, Oil, Hospitality and Banking.
Non-IT sectors lead the hiring spree in January 2023
Non-IT sectors are off to a flying start, recording a double-digit growth at the beginning of 2023. The most prominent is the Insurance sector, which has recorded 93% growth. The other Non-IT industries that recorded an upward trend in hiring activity include Oil (55%), Hospitality (53%), Banking (37%), Real Estate (31%), Auto (29%), BPO (16%) and Healthcare (10%).
Selected Non-IT sectors that showed cautious hiring sentiments are Telecom, Retail, and Pharma with a 9%, 8%, and 4% dip in hiring activity respectively vs. last year.
Hiring in IT industry continues to consolidate
Due to corrections in hiring in the IT industry, job growth in the Indian IT sector has declined by 25% vs. last year. The hiring intent declined across both large IT giants and unicorns, while trends across other IT startups remained stable vs. last year. Regarding the hiring dip across experience levels, fresher hiring faces the biggest slump followed by a mid-experience hiring decline, while hiring across senior levels (greater than 12 years of experience) remained stable in IT.
Non-metro cities continue to shine in driving job creation
Non-metro cities continue to drive the hiring activity in the New Year. Amongst non-metros, Ahmedabad leads the way in hiring trends recording 40% growth in new job creation vs. last year, mainly driven by Insurance and Healthcare sectors. Baroda follows with 37% growth in new job creation dominated by Banking and Construction sectors. Jaipur recorded a 14% growth in new job creation mainly led by BPO and Banking sectors.
Amongst metro cities, Mumbai and Delhi recorded positive hiring trends registering 14% and 10% growth respectively in new job creation vs. last year. Insurance sector has been a key sector witnessing hiring spree across Delhi and Mumbai. On the contrary, metro cities like Bangalore, Hyderabad, Pune, and Chennai, which are heavily dependent on the IT sector for driving job creation, have shown a decline of 20%, 12%, 11%, and 6% respectively vs. last year. Non-IT sectors that are most significantly driving job growth in each of these metros are Insurance, Banking, Auto and Oil.
Senior professionals continue to remain in demand
In the era of hiring corrections, increasing demand for senior professionals with 12+ years of experience continues to dominate the hiring activity at the beginning of 2023, recording more than 20% growth vs. last year. Hiring activity remains stable for freshers and mid-experience level professionals.
Commenting on the report, Pawan Goyal, Chief Business Officer, Naukri.com, said, “As the year begins, Non IT sectors hold the fort for hiring activity in India with Insurance, Oil, and Hospitality flying high. Interestingly, IT-linked metros, which were the main growth drivers last year, were overshadowed by emerging cities like Ahmedabad and Baroda. Overall, this gives a multi-dimensional outlook to the Indian Job market and makes us optimistic about the New Year.”
The Naukri JobSpeak is a monthly Index representing the state of the Indian job market & hiring activity based on new job listings as well as job-related searches* by recruiters on the resume database on Naukri.com. The JobSpeak Index captures hiring activity across multiple dimensions including industries, cities, functional areas, and experience bands. July 2008 is taken as the base month with an index value of 1,000 and the subsequent monthly index values are compared with the data for July 2008. The index is a highly robust and reliable indicator of white-collar hiring in India. It is aggregated based on the hiring activity of over 100,000 clients with more than 70 Lakh new job mandates every year. The report does not cover gig employment, hyperlocal hiring or campus placement. Over a long period of time, JobSpeak could be impacted by factors like internet penetration and Naukri’s market share.
*Index now includes job-related searches happening on Naukri’s resume database, which helps in generating statistically significant data at a more granular level.
Naukri.com, India’s No. 1 job site and the flagship brand of Info Edge, introduced the concept of e-recruitment in India. Since its inception in 1997, Naukri.com has seen continuous growth while outperforming its competitors in every sphere. Info Edge was the first internet company to be listed in India. Being the market leader, the brand enjoys highest levels of awareness and market share amongst job seekers and recruiters for more than two decades and has become synonymous with the jobs category. The platform has about 1 Crore active app installs and receives 2-3 Million job applications every day. It provides hiring-related services to corporates, recruiters, placement agencies, and job seekers in India & overseas and offers multiple products like Resume Database Access, listings, Branding, and response management tools. With more than 70 lakh new job mandates every year and over 8.5 Crore jobseekers, the brand serves over 100,000 unique clients through its 63 offices in 44 cities in India.