The Recruitment Industry in India is growing at 21% per year and is approximately worth Rs. 35,000 crores as per Executive Recruiters Association and Ernst & Young. While the permanent recruitment segment in India is estimated at overRs 3,000 crore, the search industry is pegged to have a market size of overRs 700 crore. In the next 5 to 10 years a lot many countries and major corporates will be investing in India, and therefore with all the investments coming in, the preferred choice is definitely India.
Here are certain trends that we see will influence the Recruitment Industry in India going forward.
- The premium on qualified and skilled talent is set to increase and organizations are competing with each other for acquiring the best Indian talent for their global needs.
- Traditional Applicant Tracking Systems have evolved into intelligent software providing real-time predictive analytics with the ability to weigh data points and shortlist the best fit candidates for a position, thus eliminating the element of bias and intuition.
- With companies focused on attracting and retaining talent, the trend of differentiated salary increments, rather than across-the-board flat increments will continue to grow.
- With the war-for-talent continuing to be severe for niche skills, HR focus would sharpen on talent engagement and retention. Work-from-home, hiring diversity, longer maternity/paternity leaves, part-time jobs/contract jobs and other employee engagement processes would become the norm of the day.
- Organizations aretransitioning from hiring through job-boards to actively hiring through social media. Campus-hiring will be the norm to build talent pipelines in organizations.
- In the last couple of years, employer branding has emerged as a key differentiator in the recruitment process. Organizations are consciously making an effort to attract, engage and retain talent by promoting a strong Employee Value Proposition. This will also extend to the recruitment process, wherein candidate experience right from application to evaluation, selection and on-boarding will become a key factor in promoting employer brand.
Talent being the key driver of businesses, organizations willpay the extra dollar to Recruitment firms that specialize and offer domain-specific services.For this, recruitment firms have tobe domain-focused & develop and nurture a highly efficient talent pipeline available on-tap.
The Mid to Senior level being a ‘candidate driven’ market,clients are willing to pay premium fees because highly skilled talent at is difficult to find. Positions are open longer and the entire hiring process becomes highly time consuming, expensive and frustrating for hiring managers. Corporate hiring managers do not have the time and in depth sector knowledge to find the right candidates and more crucially, the exceptional talent that a company is looking for may not be looking for new opportunities at the time. Niche recruiters constantly reach out to candidates who arenot on a job board or actively looking for a job – in our terms a “Passive Candidate”.