Hiring down, Productivity Up?
By siliconindia   |   Wednesday, 26 October 2011, 00:45 IST   |    2 Comments
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Hiring down, Productivity Up?
Bangalore: The changing economy has a huge impact on the job market in India. The latest BT-TeamLease survey shows that hiring has slowed as the employers have grown cautious. Both the Employment Outlook Index and the Business Outlook Index has revealed a three percentage point drop for the October to December 2011 quarter, compared to the previous July to September quarter reports business today. The survey also says that senior-level profiles will remain stable, but junior and midlevel hiring are expected to go down four percentage points each, while entry levels will suffer a two percentage point loss. Even according to jobs outlook survey, employers in India are less confident of hiring. Hiring intentions are at a two-year low in the last quarter of 2011 calendar year with employers in a wait-and-watch mode over business confidence, reports economic times. Sangeeta Lala, Vice President, TeamLease Services, said "Companies are going slow on hiring. The focus is on consolidation and replacement hiring." But does the hiring issues effect on the productivity ground? Many firms are now in an effort to cut costs, they are seeking ideas from their own employees on everything from money-saving strategies to product design. According to management experts, many of the most innovative companies tend to solicit ideas from staff throughout the organization, not just the executive ranks. According to them it's the employees who know a company's products and processes best rather than outside consultants, reports WSJ. Now many companies are realizing the value of their workers' input and they want submitting ideas to be so ingrained that it becomes part of the job expectation and part of the performance review. Many U.S companies are started accepting their employee's ideas for more productivity. About 60 percent of the firm's 32,000 U.S. employees have submitted, commented or voted on ideas. Ideas submitted by employees have improved the efficiency and this helped the companies in cost-savings. But does India is also aping the same culture for more productivity? As India is facing the gloomy economic condition of hiring, Indian firms should think about more productivity and how to use their employee's ideas for companies benefit.