EIGHT of the top 10 private companies by market capitalization took their foot off the brake pedal and stepped up their hiring in 2021-22 compared to the Covid year 2020-21, with net additions of more than 3 lakhs to their resources human. Among sectors, the year was marked by peak hiring in services – particularly retail, IT services and banking – as businesses drew on Tier 2, 3 and 4 cities for workforce.
An analysis of the annual reports of the main companies listed by The Indian Express showed that in the Covid 2020-21 year, the top 10 companies reported net hires of just over 1 lakh, slowing and in some cases even reducing their investment in human resources. The net number of hires takes into account the number of people likely to have left their company.
Among the companies, Reliance Industries Ltd. saw the sharpest addition of employees with 1.07 lakh in 2021-22, up from 40,716 in the previous financial year, with a large share of hires outside its core petrochemical business. Most of its hires were in its retail vertical, followed by the telecommunications and Jio technology vertical. It hired the fewest people in its oil, gas and petrochemical sector – 1,843 during the year.
The retail division of Reliance Industries has hired 1.69 lakh people. The vertical also employs the highest percentage of non-supervisory or entry-level jobs within the company at 73.7%. “Retail employs young people, usually in their twenties. With the reopening of the economy, multiple opportunities have opened up for young employees, allowing them to explore new sectors and workforce models,” the company said in its annual report for 2021-22. “Furthermore, Reliance Retail is committed to providing job opportunities across India with a focus on Tier 2, 3 and 4 cities beyond metropolitan cities,” he said. declared.
Reliance’s next retail competitor – Avenue Supermarts – recruited 5,045 people in 2021-22, compared to a net reduction of 1,364 people the previous year. Tata Group’s Titan Company also slightly increased its workforce in the year ended March 31, 2022, after seeing a sharp reduction in 2020-21.
The information technology and software services industry, which is the country’s largest organized segment employer, also saw an acceleration in net hiring as it faced the attrition crisis caused by an increase in number of new job offers in the sector. India’s largest software company, Tata Consultancy Services (TCS), reported net hiring of 1.04 lakh in 2021-22, compared to 40,185 in 2020-21. Infosys, the second-largest IT company by market capitalization, saw a net increase of 54,396 in the fiscal year ended March 31, 2022, from 17,248 in 2020-21.
In TCS’ annual report, the company’s Director of Human Resources, Milind Lakkad, said: “…it has been a difficult year for employers around the world. In our industry, it was not so much due to the Great Resignation as to turnover within the industry. Peers who hadn’t anticipated the sharp upturn in demand rushed to respond by poaching on a large scale from other companies. This set off a cycle of hiring and underhiring each other’s employees, driving up attrition rates across the industry.”
“This massive infusion of new talent by us, as well as others in the industry, should begin to alleviate the problem in fiscal year 2023. There are some early signs of this. Our attrition plateaus on an annualized quarterly basis. LTM attrition (trailing 12 months) will likely increase further in the first half of fiscal 2023 and after that it should start to decline,” he said.
Private sector banking and financial services also saw an increase in hiring, with companies such as HDFC Bank, ICICI Bank, Bajaj Finance and HDFC Ltd reporting net additions. HDFC Bank recruited 21,486 people in 2021-22 net (representing a sixth of its workforce), compared to 3,122 in 2020-21. Its private sector rival ICICI Bank hired 7,094 people in the last financial year, compared to a net reduction of 389 people in 2020-21. Bajaj Finance also saw its HR headcount jump with net additions of 6,879 people, compared to 1,577 in 2020-21.
Among the top 10 listed companies in the private sector, consumer goods giant Hindustan Unilever has seen steady growth in hiring, maintaining its total workforce at around 21,000 over the past three fiscal years. Adani Transmission Ltd completed the top 10 as the only company on the list to see its workforce reduced to 11,178 as of March 31 this year, from 11,922 a year ago and 12,305 as of March 31, 2020.
Other sectors to have bucked the Covid trend include airlines, represented by India’s largest carrier IndiGo. Its parent company InterGlobe Aviation saw net additions of 2,453 people in 2021-22, compared to a net reduction of 4,101 people in 2020-21. Similarly, India’s largest automaker Maruti Suzuki added 1,004 people on a net basis in 2021-22, compared to a net reduction of 690 people in 2020-21. Rival Tata Motors, however, proved to be an exception, achieving just 1,514 net additions in 2021-22, over 8,240 net additions in 2020-21.
Similarly, engineering and construction firm Larsen & Toubro also added just 1,160 people on a net basis last fiscal year, compared to 3,640 net additions in 2020-21.
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Going forward, companies should strengthen their recruitment plans. According to a report on the employment outlook by TeamLease, the hiring intention of Indian companies has gradually increased to 61% for the current quarter of July-September, compared to 34% in the quarter of April-June 2021-22 .
“Across all geographies, Tier 2 cities show the largest increase in hiring intent this quarter over last, although the increase is slightly higher than metropolitan and Tier 1 cities,” said said TeamLease in its report.
“Engineering and Marketing roles are showing a dramatic increase in hiring intent for the next quarter. Hiring intent for engineering roles is seeing a staggering 13% to 70% increase. Hire Intent Increases 10% for Marketing Positions, to 63% Sales and Information Technology (IT) See an Increase in Hire Intent of 8% Each, to 90% and 83%, respectively, for the next quarter. Blue-collar positions show a significant increase of 7%, from 50% in the previous term to 57% for the coming quarter,” the recruitment agency said. .