Workforce Expansion Strategies: New Hiring and Replacement Plans

Navigating today’s fast-paced world of work requires a keen understanding of the ever-changing employment landscape. Businesses face critical decisions regarding their staffing strategies. As industries evolve, the demand for individuals with expertise in emerging technologies such as artificial intelligence, blockchain, and data science continues to grow.

While the IT industry may have experienced setbacks, other industries such as healthcare and pharmaceuticals, BFSI (Banking, Financial Services, and Insurance), and manufacturing are witnessing a significant surge in workforce expansion.

Balasubramanian A, VP & Business Head, TeamLease Services, said “The upcoming job landscape in consumer-centric sectors such as healthcare and pharmaceuticals, Electric Vehicles (EV), and Infrastructure and Fast-Moving Consumer Durables (FMCD) reflects  commendable growth. This surge in job aspects is driven by a collective demand for innovation, sustainability, and advancements in technology.”

The financial services industry is on the cusp of an intriguing phase, a phenomenon unseen for several decades. Whether it be banks, fintech firms, or insurance companies, the optimism that resonated strongly last year has every reason to endure. “79% of employers are going for new hiring, and 70% for replacement hiring. Kolkata takes the lead in H2 for BFSI workforce expansion. The Human Resources function spearheads the incremental new hiring. The employment landscape is optimistic, with none falling below 65% in incremental new hiring across industries. Additionally, a substantial 85% incremental new hiring in blue-collar roles showcases the enduring value of hands-on operational roles,” said Krishnendu Chatterjee, VP and Business Head, TeamLease Services.

5 major forces shaping the job market today

Despite positive indicators of workforce expansion, several factors can potentially affect employment dynamics. These include:

• Economic conditions: A large proportion of the respondents (69%) believe that economic conditions affect the employment environment majorly. While the overall economic growth rate of the country is the major concern, employment opportunities also depend on factors like inflation, recession, and global economic trends.
• Business growth or expansion is considered as another major factor by the respondents (53%). With the government and private sectors encouraging entrepreneurship, India should see a rise in job opportunities.
• Skill shortage, i.e. a mismatch between the available skilled workforce and the job requirements, can influence the hiring, according to 31% of the respondents.
• Technological advancements is a major factor in determining employment opportunities in India, according to 19% of the respondents.
• Policy changes: 15% of the respondents believe that policy changes, such as the labour laws, taxation, investment incentives, industrial regularisation, and global trade dynamics will have a major impact on employment in India.