Indian companies show signs of revival

Indian companies seem to be on a recovering phase after being badly affected by the economic downturn in the last two quarters. According to the research done by TeamLease Services, the net employment index of Indian companies increased by 22 index points for the July-September quarter over the previous quarter. The net business outlook has also registered an increase of 26 index points compared to the previous quarter, which was in negative.

Among all the sectors, Telecom topped the list with an increase of 55 index points followed by IT and Infrastructure with 53 points. Surabhi Mathur-Gandhi, General Manager, TeamLease Services says, "With the stabilization of economies and optimism in global expansion, there is a direct positive implication for the Indian employment situation. We are observing a slow and steady upsurge in hiring intent across sectors."

TeamLease releases the employment outlook report every quarter after a survey administered to the HR heads, CEOs and senior management of leading companies in India. The study, which covered 495 companies in the latest round, focuses on the employment growth potential, the business outlook and hiring forecasts with relation to the location and the company profile.

Among all the Indian cities, employment outlook index increased the most in Chennai by 37 points followed by Delhi/Pune and Hyderabad by 33 and 28 points respectively. The report observed that there is a steady increase in the intention to hire across most functions except for marketing, where there is a decrease in the intention to hire at all managerial levels, except senior levels.

Gandhi says, "There are active hiring plans reported by Indian employers, and the overall employment outlook, though a bit conservative, is bullish and upbeat."

Most of the analysts feel that the employment outlook is reflective of the confidence in Board Rooms after the recently concluded Lok Sabha election. The confidence of companies grew more by seeing the amount being allocated by Finance Minister Pranab Mukherjee in the recent budget presented in the Parliament.

Additionally, the stock market is also giving positive indication by rising from 8,000 mark in October to 14,000 mark today.