Next few quarters will see a spike in hiring by IT firms
The Indian job market will see a spike in temporary hiring in the next two to three quarters, as most tech firms would be looking at flexi staffing arrangements under the current uncertain market conditions.
Enterprises, in the next few quarters, won’t be able to grow their existing permanent base much (except for specialised talent and positions) as they would prefer to stay lean in a volatile environment, said Indian Staffing Federation, apex body of flexi staffing industry in the country.
Rituparna Chakraborty, president of the federation said, the IT sector will not see much direct hiring in the next couple of quarters, instead a significant demand for temporary staffing is expected from the industry.
“The very nature of flexi staffing is to support companies when they are in crisis or when they have a sudden, exceptional delivery requirement in hand. Also, whenever there is economic uncertainty and market turbulence, companies increasingly opt for temp hiring as it reduces overall cost and risk involved in handling bench staff,’’ said Chakraborty.
Permanent hiring naturally becomes tough when the going itself is tough. Companies won’t be able to offer career path to employees hired during difficult times. So taking the flexi route gives companies the ability to cover risk and flexibility when it comes to handling project-based assignments, she added.
According to BV Naidu a senior technocrat and industry observer, temporary hiring helps companies stay competitive and nimble footed, and that’s what Indian tech firms now require to tide over the current crisis.
Small and large companies using digital technologies like artificial intelligence, machine learning and block chain are also likely to hire temporary staff to reduce risk in a challenging environment, said Naidu who owns Affluent Global Services, a Hyderabad-based staffing firm that specialises in Microsoft technologies.