According to the TeamLease Employment Outlook report for the quarter July – Sept 2007, the financial services sector has reflected maximum growth both in terms of hiring prospects and business outlook. The same can be said for infrastructure. The Employment outlook growth for the quarter suggests a 2% increase over last quarter while business outlook remains constant at 90 index points. New Delhi, which has witnessed a downturn over the last three quarters, suggested a positive trend in hiring as well as business at 5% this quarter. Urban hiring remains consistent at 3% for both quarters.



[ClickPress, Tue Jul 17 2007] TeamLease Services Private Limited, India’s largest staffing solutions organization, has recently released its fourth quarterly employment outlook report for the period between July – September 2007.

According to the TeamLease Employment Outlook report for the quarter July – Sept 2007, the financial services sector has reflected maximum growth both in terms of hiring prospects and business outlook. The same can be said for infrastructure. The Employment outlook growth for the quarter suggests a 2% increase over last quarter while business outlook remains constant at 90 index points. New Delhi, which has witnessed a downturn over the last three quarters, suggested a positive trend in hiring as well as business at 5% this quarter. Urban hiring remains consistent at 3% for both quarters.

Sector-wise
According to the report, in Quarter 4, companies having intention to hire in Marketing and IT function is high (above 20%) among all the functions. While comparing to all the four quarters, it is observed that there is an upward trend in intending to hire in Administration and IT functions.



City-wise
The report states that IT continues to remain the major contributor of employment growth in Bangalore, Pune and Hyderabad, while ITES is the major contributor for New Delhi and Hyderabad. Manufacturing & Engineering sector is seeing major employment growth in Chennai and Pune and Financial Services is the major contributor of employment growth in the cities of Mumbai and Kolkata. While New Delhi has been consistently negative in its employment outlook growth, it has witnessed a sharp 5% increase this quarter

Hiring levels
According to the TeamLease report, in quarter 4, most of the companies (95%) have expressed considerable intention to hire at Junior level. There is an increase in the companies intending to recruit from middle level and a decrease in senior level.

According to Sampath Shetty, Vice President, TeamLease Services Pvt Ltd, "The financial services and infrastructure sectors have contributed towards the positive business confidence consistently over the last two quarters. With new establishments being set up in the service and manufacturing sectors is a reflection of MNCs continuing to be bullish about the India story and the Indian consumer. The Indian Outsourcing industry broadening their spectrum with new verticals and services has turned favorable in the Delhi NCR region for employment growth.”
“We see the Retail Financial Services continuing to contribute to the business outlook and the employment growth this quarter. The Manufacturing and Engineering sector has seen consistent employment growth over last quarter in the Chennai and Pune region. The employment outlook growth has consistently been positive in urban India. We still see the challenge for Indian Corporate to bridge the manpower demand supply shortfall to leverage this Indian economy growth story,” he added.
While comparing all the four quarters there is growth in employment in ITES Sector in the cities of Mumbai and Ahmedabad. Employment growth in IT is reported in Bangalore and Chennai. Infrastructure Sector and Financial Service’s employment growth is reported in Mumbai and Chennai respectively. The decline in employment growth in IT is reported in New Delhi, Mumbai, Kolkata and Hyderabad. Such as there is a decline in employment growth in Retail Media and FMCG Sector in the cities of Mumbai, Bangalore, Chennai and Ahmedabad. Financial Services and Infrastructure Sectors show a decline in employment growth in Bangalore and Mumbai respectively.


Please find given below last four quarter comparisons and city specific trend comparison details between last and this quarter


ANNEXURE
QUARTER COMPARISON
CITY TRENDS –COMPARISON BETWEEN LAST AND THIS QUARTER


QUARTER COMPARISON SHEET

Net Employment Outlook:
The ‘Net Employment Outlook’ is derived in Percentages as the difference in the Proportion of respondents reporting an increase in hiring needs and those who report a decline in hiring needs over the next three months.
Quarter Period (Figures in percentage)
Increase Decrease No Change Net Employment Outlook
1 Oct-Dec 2006 86 5 10 +81
2 Jan-Mar 2007 82 1 17 +81
3 Apr-Jun 2007 83 1 16 +82
4 Jul-Sep 2007 85 1 14 +84

Net Employment Outlook Growth sector wise:
The Net Increase/Decrease in the Employment Outlook growth sector wise is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
Sectors (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
IT 88 89 87 86 -1
ITES 79 90 85 87 +2
Financial Services 82 85 84 89 +5
Retail, Media & FMCG 90 78 86 84 -2
Infrastructure 74 71 78 82 +4
Mfg. & Eng. 73 71 73 76 +3

Net Employment Outlook Growth City wise:
The Net Increase/Decrease in the Employment Outlook growth city wise is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
City (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Mumbai 95 90 93 91 -2
Delhi 91 88 76 81 +5
Bangalore 83 90 94 93 -1
Kolkata 57 57 64 69 +5
Chennai 76 74 93 93 0
Pune 80 82 76 80 +4
Hyderabad 72 76 70 73 +3
Ahmedabad 81 76 80 80 0

Net Business Outlook:
The ‘Net Business Outlook’ is derived in Percentages as the difference in the Proportion of respondents reporting an increase in Business and those who report a decline in Business over the next three months.
Quarters (Figures in percentage)
Increase Decrease No Change Net Business
Outlook
Quarter 1
(Oct-Dec 2006) 87 2 11 +85
Quarter 2
(Jan-Mar 2007) 93 2 5 +91
Quarter 3
(Apr-Jun 2007) 91 1 8 +90
Quarter 4
(Jul-Sep 2007) 91 1 8 +90

The Net Employment Outlook stands at +84% showing an upward trend in the Hiring needs for the fourth quarter and a Net Business Outlook of +90% shows a steady growth in the Business trend.

Net Business Outlook growth sector wise:
The Net Increase/Decrease in the Business Outlook growth sector wise is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
Sectors (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
IT 84 96 90 89 -1
ITES 74 92 91 91 0
Financial Services 92 93 91 96 +5
Retail, Media & FMCG 95 80 90 90 0
Infrastructure 93 92 91 96 +5
Mfg. & Eng. 83 90 87 86 -1

Net Business Outlook growth city wise:
The Net Increase/Decrease in the Business Outlook growth city wise is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
City (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Mumbai 92 97 97 95 -2
Delhi 84 90 75 79 +4
Bangalore 98 97 89 93 +4
Kolkata 72 85 93 93 0
Chennai 80 87 93 95 +2
Pune 80 89 94 94 0
Hyderabad 80 86 88 87 -1
Ahmedabad 83 91 93 93 0

Employment scenario:
The Net Increase/Decrease in the Employment scenario is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
City (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Metro 43 56 52 51 -1
Class I 35 40 43 46 +3
Class II 11 4 4 3 -1
Rural 11 0 1 0 0

Managerial level hiring:
The Net Increase/Decrease in the Intention to hire across Managerial Levels is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
Levels (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Jr. Level 86 87 93 95 +2
Middle Level 34 35 45 46 +1
Sr. Level 17 12 11 11 0

Intention to hire across functions:
The Net Increase/Decrease in the Intention to hire across Functions is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
Functions (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Marketing 31 25 23 25 +2
IT 18 18 21 21 0
Production 17 18 18 18 0
Others 11 16 11 8 -3
Finance 11 10 10 12 +2
Administration 8 9 10 10 0
HR 4 4 7 6 -1

Full Time/Part Time hiring:
The Net Increase/Decrease in the Employment practice for Full Time/Part Time is derived by subtracting the percentage of responses of Quarter 3 from Quarter 4
Hiring Resources (Figures in percentage)
Quarter Net
Increase/Decrease
1 2 3 4
Full Time 84 90 94 94 0
Part Time 1 2 0 1 +1
Flexi Time - - - 4 +4
Full Time & Part Time 15 8 6 2 -4

EMPLOYMENT OUTLOOK

The Employment Trend Index which is calculated by dividing the Current Employment Outlook Index with the baseline index and converting the same in percentages by multiplying with 100 is at 104.
Employment Trend Index Quarter-2: January 2007 100
Quarter-3: April 2007 101
Quarter-4: July 2007 104

The Employment Outlook Index, which is the difference in proportion of respondents who report an increase in hiring needs and those who report decline in hiring needs over the next three months, is at 84.
Employment Outlook Index Quarter-1: October 2006 81
Quarter-2: January 2007 81
Quarter-3: April 2007 82
Quarter-4: July 2007 84
When compared to the previous quarter of April 2007 (Quarter – 3) the Employment Outlook Index has shown a slight increase.

CITY HIGHLIGHTS

Bangalore (Apr – Jun 2007) Bangalore (current Jul – Sept 2007)
• Employment outlook index touched the highest (94 points). In the previous two quarters index points touched 83 (Oct-Dec) and 90 (Jan-Mar) respectively indicating a market demand for increased manpower.
• The IT sector reflected the highest manpower demands in the country steadily increasing from 16 points in Q1 to 29 points in Q2 to 34 points in the current quarter.
• According to the report, Employment outlook has shown a marginal decline (1%) at 93 index points for the current quarter in Bangalore
• IT followed by ITeS continues to show maximum growth in Bangalore as compared to any other city.
• IT sector manpower demands steady at 34 points this quarter
Mumbai (Apr – Jun 2007) Mumbai (current Jul – Sept 2007)
• Second highest hiring in the current quarter with index points touching 93. Overall hiring growth in Mumbai maintains an overall consistent pace with index points touching the highest in Q1 (Oct- Dec), then falling to 90 in Q2 and stabilizing this quarter
• BFSI sector continue to remain the maximum employment generator in Mumbai over the last three quarters touching 34, 24 and 33 index points respectively. This is followed by the manufacturing and engineering segment
• BFSI sector is also poised for growth with an increase by 7% since last quarter to touch 33 index points in the current • Financial Services sector shows highest growth this quarter (34 index points) as compared to the previous three quarters
• Retail, Media and FMCG continue to remain at a 12 point constant as compared to previous quarter
• Mumbai shows a two per cent decline in net employment as well as business outlook at 91 and 95 index points respectively for the current quarter
• BFSI sector hits all time high at 96 index points, a 5% increase as compared to the previous quarter
New Delhi (Apr – Jun 2007) New Delhi (current Jul – Sept 2007)
• New Delhi has witnessed a gradual decrease in hiring with Q1 touching 91 index points, Q2 decreasing to 88 index points and current quarter witnessing a sharp decrease by 11% to touch 76 points.
• New Delhi business outlook has been unsteady with a net increase over last quarter being 6% and a sharp decrease in the current quarter by 15% to touch 75 index points.
• Sector wise growth – infrastructure seems steady starting off with 16 points in Q1, dipping by 3% in Q2 and stabilizing with an increase by 3% back to 16 points in the current quarter • New Delhi, which has been consistently negative in its employment outlook growth, has witnessed a sharp 5% increase this quarter
• Business Outlook for New Delhi also grows significantly to 79 index points as compared to 75 in the previous quarter
• ITeS continues to remain New Delhi’s forte in hiring across the country; with highest hiring expected in this sector here this quarter as well

Hyderabad (Apr – Jun 2007) Hyderabad (current Jul – Sept 2007)
• Current quarter employment outlook has witnessed a sharp decrease by 6% to touch 70 points
• Business outlook has witnessed an increase by 2% over since last quarter
• Hyderabad employment outlook bounces with a growth of 3% at 73 index points as compared to 70 in the previous quarter
• Hyderabad’s business outlook falls marginally by 1% at 87 index points as compared to the previous quarter
Pune (Apr – Jun 2007) Pune (current Jul – Sept 2007)
• Current quarter employment outlook has witnessed a sharp decrease by 6% to touch 76 points
• Current quarter reflects the third highest business confidence across all cities increasing by 5% this quarter to touch 94%
• The IT industry which reflected a decrease in hiring last quarter has risen sharply to touch 16 index points current quarter (11% increase) • Employment outlook of Pune increases by 4% to reach 80 inde4x points as compared to 76 in the previous quarter
• The Business Outlook also is very positive in Pune and shows a steady growth at 94 index points
• Manufacturing and engineering sector growth is the second highest in the country in Pune
Kolkata (Apr – Jun 2007) Kolkata (current Jul – Sept 2007)
• Employment outlook has been consistently low in the last two quarters touching 57 index points; however the current quarter reflects an increase by 7% to touch 64 points, however remaining the lowest compared to other cities this quarter.
• The sharpest net increase in business outlook growth over the last quarter is in Kolkata at 8% to touch 93 index points. Although lower than last quarter it maintains the highest business confidence compared to the other cities
• Manufacturing & Engineering sector has been the major contributor for employment growth - from 21 points in Q1 to 18 in Q2 to 24 points in the current quarter
• Manufacturing and Engineering segment sector growth has increased sharply to 33 index points a 5% increase over last quarter • Employment outlook continues its growth in Kolkata by 4% to reach 69 index points as compared to the previous quarter
• Business growth outlook has steadied in Kolkata at 93 index points this quarter, still a considerable growth ratio compared to overall country scenario
• Kolkata consistently being favorable for hiring, reflects the highest percentage growth (5%)
• Employment growth in infrastructure has raised to 11 index points from 7 as compared to the previous quarter indicating a significant growth in the infrastructure sector
• BFSI sector in Kolkata has reflected the highest growth in the country with an increase by 50% (from 9 index points previous quarter to 18 this quarter)
Ahmedabad (Apr – Jun 2007) Ahmedabad (current Jul – Sept 2007)
• Employment outlook which started at 81 index points in Q1 fell sharply to 76 points in Q2, but the current quarter shows an increase by 4% to touch 80 index points
• The BFSI sector remains a consistent hiring sector for companies over the last 3 quarters followed by retail media and FMCG
• Infrastructure has also been a consistent employment generator all three quarters touching 11, 11 and 10 index points respectively • ITeS and BFSI are the most sought after sectors in Ahmedabad at 17 and 14 index points respectively
• Employment and business outlook has steadied in Ahmedabad as compared to the previous quarter at 83 and 90 index points respectively
• Infrastructure employment outlook growth continues in Ahmedabad; moving to 13 index points from 10
Chennai (Apr – Jun 2007) Chennai (current Jul – Sept 2007)
• Employment Outlook Index of Chennai reflects the sharpest net increase in hiring at 19%. In fact Chennai hiring has gone from 76 index points in Q1 to 74 in Q2 to a sharp increase in current quarter to 93.
• Chennai reflects the second highest net increase in business outlook of 6%
• The manufacturing and engineering sector reflects maximum hiring touching 18 index points
• Sector wise, manufacturing and engineering sector after having been consistent for two quarter at 15 points has shown a sharp increase by 7% this quarter to touch 22 points • Chennai registers highest employment outlook growth in the country in the manufacturing and engineering segment at 26 index points
• Compared to previous three quarters, Business Outlook growth is the highest this quarter in Chennai at 95 index points, an increase by 2% as compared to the previous quarter
• Chennai registers highest business outlook growth this quarter in the country, on par with Mumbai at 95 index points


About TeamLease Services Pvt. Ltd.

TeamLease Services Private Ltd is India’s largest staffing solutions company and the biggest player in the temping (temporary staffing) industry today. TeamLease has been recognized for having pioneered temporary staffing in India. Currently they have over 70,000 employees on the rolls, presence across 464 locations with 23 offices in India.

They are currently India's second largest private sector employer and should be India's largest by end of 2007 after being in business for five years. TeamLease’s biggest visible accomplishment is the speed of scaling (have hired somebody every 12 minutes for the last four years, weekends and nights included).

Permanent Staffing Unit (the report is a product from the permanent staffing business unit at TeamLease

In the permanent recruitment domain, TeamLease Services provide executive search, database selection, advertised selection and turnkey solution, with domain experts to anchor specific industry verticals. TeamLease Services head quartered in Bangalore, operates out of 18 other locations across India.

TeamLease adopts a holistic approach to develop company specific staffing solutions that are highly research oriented with process capabilities and a strong technology platform. Our approach is derived from organizational experience and is customized to client needs.

The explosive growth of TeamLease is attributed to the ability to leverage on its national presence and its people & technology platform. The combination of people, technology and focus enables TeamLease to deliver on its committed objective of value creation for all its clients.

Company: Teamlease Services Pvt. Ltd.
Contact Name: AdfactorsPR
Contact Email: vivek@adfactorspr.com
Contact Phone: 022-22871361