Last year’s summer placements across top-tier institutions were nothing short of triumphant. The numbers looked spectacular – IIM Calcutta (538 offers for 470 students), IIM Lucknow (570 offers for 566 students), IIM Bangalore (542 offers for 515 students) and FMS Delhi (311 offers for 290 students).

This year’s summer placements – still ongoing – paint a dismal picture. According to an Indian Express report, IIM Bangalore could place only 80% students in the designated placement week, and cited tight job market as the reason.

Ankit Aggarwal, founder & CEO of Unstop – the talent engagement & hiring platform – told FE that there is acknowledgement across institutes that job market conditions are tough.

“Students at top institutions are grappling with heavy loans, gloomy job market, and economic slowdown. MBA students are feeling the impact the most. Their days are spent going through newsletters and LinkedIn posts resonating with the shared apprehension among undergraduates and postgraduates alike,” he said.

He added that the mandatory eight-week summer internship in a two-year MBA is a hope for many students to use the stipend for paying back loans. “With little clarity on good summer internships, there is an added financial strain on students. With fees as high as Rs 24-25 lakh for a two-year MBA, students often rely on hefty bank loans, with repayment commencing post-employment,” he said.

Looking back at 2008-09

This situation, Aggarwal added, mirrors the economic slowdown of 2008-09. “The bankruptcy of Lehman Brothers and subsequent job cuts across the financial services sector led to a delay in internship plans of students, across the world,” he said. “That time, those who persisted, honed their skills, expanded their network, and engaged in competitions reaped rewards with good jobs once the economic slump lifted. The same approach needs to be taken now.”

He added that, at this juncture, students need to be unstoppable. “Raise your game, face the curveballs head-on, build your network, and continue learning,” he said. “It is also a call to companies to not really shy away from campuses, but recognise the potential of students, and forge partnerships that transcend conventional barriers.”