Hiring is expected to pick up in the current festive season, especially in retail and other consumer-focused sectors, leading to a 5-12 per cent increase in new job creations across the country, say experts.
However, an overall weak economic scenario may take a toll on bonus payments for employees as companies seek to spend more on sales and marketing.
Hiring has been subdued for the past few months and some companies have even imposed a freeze on fresh recruitments amid the economic uncertainty. However, with the onset of the festival season there is a renewed focus on employing additional staff to boost business.
"There is an expectation of 10-12 per cent growth in new job creation in the remaining part of the year. Main drivers of jobs would be IT, ITes, hardware, construction and engineering. Major metros are expected to contribute to most of the new job creation," CareerBuilder India MD Pramlesh Machama said.
While India celebrates festivals through the year, the last four months are relatively busier, starting with Ganesh Chaturthi and Dussehra celebrated earlier this month, followed by Diwali on November 3 and then Christmas and New Year.
Consumer spending during these months increases significantly across various products and services and businesses need additional manpower.
Randstad India and Sri Lanka CEO Moorthy K Uppaluri said: "Since customer spending and demand are generally high during festival occasions, we expect hiring to increase by 5 per cent, especially in front-end sales functions."
During the festive season, retailers need extra people for sales and customer service and many consumer durable companies ramp up promotional activities. There is demand for jobs such as cashiers, coordinators and event management staff.
"Various brands unleash their sales campaign and product launches and for this they require manpower to pull it off. It is likely that most flexi staff will be hired in retail outlets, malls, among others, to manage their front-end sales and customer care," Indian Staffing Federation VP Rituparna Chakraborty said.
The hotels and hospitality sector scrambles to find temps while travel companies see increased business.
According to TeamLease Services Co-Founder and Senior Vice President Sangeeta Lala, "Overall, hiring will go up in this season also, though only for extremely short periods and not as a sustained requirement."
"With the festive season in full swing, I feel the overall hiring across all sectors would go up by at least 5-10 per cent," Champion Computers MD Kapil Wadhwa said.
The festive season is the time when many organisations dole out bonuses to employees. This year, given the slowdown, bonuses maybe reduced or deferred as companies focus on sales and marketing, experts say.
"Since many firms are moving to a performance-based compensation, bonus to employees as a component seems to be done away with at many organisations," Society for Human Resource Management India Knowledge Advisor Mamta Kanuga said.
According to Simi Dean, Senior Manager, Talent Acquisition, Top Gear Consulting, companies are not doing so well in the current economic scenario, but they may still try to give a good bonus packages to retain employees.
"Employees expect to be given bonuses as a ritual and companies avoid denying them even if it is going through a financial turmoil as it leads to a dip in the morale of its employees," Bristlecone VP Global HR & Talent Management Ritu Mehrotra said.