Organized sector generates 1.13 mn jobs: Survey

The organized sector in India has created 7,39,064 jobs between January-September 2010 and 3,94,700 more jobs are getting added in the current quarter, reveals the latest results of Ma Foi Randstad Employment Trends Survey (METS).

Ma Foi Randstad, a leading integrated HR services provider in the country, has been conducting the employment trends survey since 2004. 

The latest projection for the October-December 2010 period clearly shows that India is almost back in track with the high growth rate it had achieved before the economic crisis. At the beginning of this year METS predicted creation of 1 million new jobs in the year 2010.

The latest METS survey reflects a more-than-anticipated growth in the hiring sector of India with a few sectors such as Healthcare, Real Estate & Construction; Hospitality and IT & ITES leading this momentum.

The latest projection for the October-December 2010 period, and estimates of actual job creation from January-September 2010, for the organized sector was arrived at, after surveying the employment trends in 660 companies across 13 industry sectors in eight major cities – Ahmedabad, Bangalore, Chennai, Delhi, Hyderabad, Kolkata, Mumbai and Pune. These companies were queried about (a) hiring in the first 9 months of the year and (b) hiring intentions over the next 3 months.

The METS findings show that while advanced economies are still going through the process of recovery from global recession, the Indian economy has shown strong signs of comeback and has gained momentum during the first two quarters of the fiscal year.

Speaking on the occasion, K Pandia Rajan, MD, Ma Foi Randstad, said, “We see a strong positive growth in the overall picture of the organized employment in the country, as companies are recruiting more than what was anticipated during the beginning of this year.

“We see that the industries have regained their confidence and the increased momentum in the hiring process clearly signifies that the Indian economy and the sector players are preparing for further growth. We expect aggressive hiring in the coming months and also increase in salary levels.”

Sector-wise Employment Trends:

 According to the survey, the employment trend across all sectors – BFSI; IT & ITES; Pharmaceuticals; Healthcare; Trade, including consumer, retail and services; Energy; Transport, Storage and Communication; Real Estate & Construction; Hospitality; Media & Entertainment; Non-Machinery Manufacturing; Manufacturing – Machinery & Equipments; Education, Training & Consulting – are growing at a robust pace, which is expected to continue in the next quarter.

Amongst the sectors covered under the survey, Healthcare; Real Estate & Construction; Hospitality and IT & ITES are among the top most sectors contributing to the country’s increasing employment base. Energy and Transport were relatively moderate performers as compared to other sectors of the economy.

The Healthcare sector has consistently reported the largest employment generation in the year 2010 by generating 2,60,052 jobs. This sector has emerged as one of the most progressive and largest service sectors in the country with an expected GDP spend of 8 per cent by 2012 from 5.5 per cent in 2009. It is believed to be the next big sector.

The sectors like Hospitality, Real Estate & Construction, IT & ITES have also joined the 1 lakh plus jobs pack for the year 2010. Hospitality sector with a total number of 1,65,700 jobs in 2010 has grown tremendously during the last six months. This is due to a combination of factors like increase in foreign tourists arrival, massive investment in hotel infrastructure and open sky policies made by the Government. A large number of approvals for new hotels is also likely to result in substantial job creation in the near future.

Booming Hospitality and Retail sectors, clubbed with increased demand for office space has led to a jump in the Real Estate & Construction sector resulting in a significant increase in the number of jobs. This sector has reported a total number of 1,50,512 jobs in the year 2010.

In spite of being hit hard by recession, IT & ITES sector has bounced back and reported more job creation at 1,16,700 as compared to 97,000 jobs forecast a earlier. Inter-industry shifting of skilled workforce has increased significantly, as a result of growing demand.

The industry sectors like BFSI, Non-Machinery Manufacturing, Media & Entertainment and Education, Training & Consultancy have joined the 50,000 plus jobs pack.

 City-wise Employment Trends:

Amongst the cities surveyed, Delhi & NCR has reported greatest employment generation by creating 1,13,897 jobs in the year 2010. This region has created 44,183 jobs during the period of October to December 2010, which is the highest in the year so far. Large scale hiring was in place during the third quarter 2010. Commonwealth Games 2010 was also a significant contributor for the region in terms of hiring activities in the third quarter of 2010.

This was closely followed by Mumbai with 1,07,806 jobs in the year 2010. The hiring situation has improved significantly in the third quarter as compared to the previous two quarters. BFSI, Trade, Real Estate and Hospitality sectors have played a key role in this growth. In the current quarter, hiring situation is expected to be almost stable, though the growth rate may be lower due to the base effect.

Compared to a dull scenario during H1 in Chennai, job creation has improved significantly in Q3 and is growing at a faster rate in Q4. This region is expected to generate 32,087 jobs during the current quarter.

The hiring scenario in the cities like Kolkata, Bangalore and Hyderabad has seen tremendous improvement during the third quarter and was substantially higher than the previous two quarters. All these three metro cities are together adding 26,534 more jobs in the current quarter.

Ahmedabad and Pune have been showing a strong positive movement in hiring consecutively for the third quarter of the year. Both the cities are generating 11,345 new jobs in the current quarter.

Sector-wise Fresher / Experienced Hiring:

The survey shows that BFSI sector is creating the most number of new jobs for the freshers (32.5%) closely followed by Manufacturing of Machineries & Equipments (32.2%) and Healthcare (32.1%). 

The leader in hiring of experienced staff is Pharmaceuticals (83.7%) followed by Trade including CRS (76.5%) and Energy (73.6%). 

Amongst the cities, New Delhi & NCR leads in job creation for freshers (41.1%), followed by Ahmedabad (39.4%) and Bangalore (36.2%). For the experienced employees, Chennai is leading the job creation market with 74.1% closely followed by Kolkata at 73.7% and Mumbai at 70.9%. 

The structured analysis of METS was administered by India’s leading economic research firm Indicus Analytics, which is headquartered in Delhi. 

http://www.indicus.net/Media/index.php/mediahome/1618-organized-sector-generates-113-mn-jobs-survey

Insurance
The US$ 41 billion Indian life insurance industry is considered the fifth largest life insurance market, and is growing at a rapid pace of 32-34 per cent annually, according to the Life Insurance Council.
As per data released by Life Insurance Council, the apex industry body of all life insurance companies in India, total premium collected by the life insurance industry increased 13 per cent to US$ 41.05 billion in calendar year 2010 from US$ 36.23 billion in 2009. The new business premium of life companies has grown by 28 per cent year-on-year (yoy) to US$ 19.14 billion till December 31 2010 as compared to US$ 15 billion in 2009. The growth comes in the backdrop of significant regulatory changes made in product profile of ULIPs (unit- linked insurance products) in 2010, which was also a year in which a few private life insurers completed a decade of their existence, the Life Insurance Council said in a statement.
State-owned Life Insurance Corporation (LIC) of India, the largest and most dominant life insurer crosses has given an exuberant performance in terms of first year premium. As of January 29 2011, LIC received an income of US$ 7.52 billion by successfully selling 2, 52, 44,846 policies. SBI Life has overtaken ICICI Prudential to become the country's largest private insurer in terms of first year premium collection, garnering a new business of US$ 1.04 billion in April-December 2010. ICICI Prudential collected the first year premium of US$ 1.02 billion in nine months to December 2010, according to the data released by Insurance Regulatory and Development Authority (IRDA).
General Insurance
According to data released by IRDA, the general insurance industry recorded 22.76 per cent year-on-year (y-o-y) growth in gross premium underwritten during April–October 2010. The industry collected gross premium of US$ 5.29 billion during April–October 2010 compared with US$ 4.31 billion in the same period last year.
The public sector players posted 21.09 per cent y-o-y growth in gross premium during April–October 2010 over the corresponding period last year. At the same time, private players recorded a 25.19 per cent y-o-y increase in gross premium.
The state-run insurers fared better than their private counterparts, with New India Insurance collecting the maximum premium of US$ 916.77 million during April-October 2010, compared to US$ 770.25 million in the same period last year, growing by 19.04 per cent.
According to the IRDA's Summary Reports of Motor Data of Public and Private Sector Insurers - 2009-10, nearly 28.4 million policies were issued and a total premium of US$ 2.31 billion was collected.
Health Insurance
The Indian health insurance market has emerged as a new and lucrative growth avenue for both the existing players as well as the new entrants. According to a latest research report "Booming Health Insurance in India" by research firm RNCOS released in April 2010, all emerging trends including the key factors driving the market growth. Furthermore, the report also identifies what could be the possible growth areas for expansion and gives a detailed overview of the competitive landscape. The Indian health insurance market has continued to post record growth in the last two fiscals (2008-09 and 2009-10). Moreover, as per the RNCOS estimates, the health insurance premium is expected to grow at a compound annual growth rate (CAGR) of over 25 per cent for the period spanning from 2009-10 to 2013-14.
According to a report published by Yes Bank and an industry body in November 2009, the medical insurance sector would account for US$ 3 billion in the next three years.
Health insurance premium collections were US$ 1.75 billion in 2009-10 compared with US$ 893.76 million in the previous year, IRDA said in its annual report for 2009-10. It should, however, be noted that figures for 2009-10 include policies served by third party administrators (TPAs) as well as those directly served by insurers whereas figures for 2008-09 include policies served by TPAs only.
Bancasssurance
Private insurers have adopted bancassurance in a much bigger way than the state-owned Life Insurance Corporation (LIC) in recent years. Bancassurance is distribution of insurance products through a bank's network.
In 2008-09, private insurers forked out US$ 44.64 million as commission for bancassurance, while the payout by LIC for this distribution model was only US$ 26,075, as per official data.
According to Towers Watson India, Bancassurance Benchmarking survey 2009-10, released in May 2010, bancassurance will play a crucial role in the overall development of the Indian insurance sector with the channel expected to generate 40 per cent of private insurers premium income by 2012, compared to the current 25-28 per cent. In general insurance, presently 17 per cent of premium income comes from bancassurance.
LIC HFL Financial Services, a subsidiary of housing mortgage lender LIC Housing Finance, has tied up with public sector insurer United India Insurance for distribution of non-life products of the latter.
Investments
The Indian insurance unit of Dutch financial services firm ING plans to invest US$ 51 million in 2010/11 to fund expansion in India.
Private life insurer Future Generali India will expand its distribution network by opening around 100 branches in addition to its existing network of 91 branches during 2010. It will also increase the agency force by 21,000 to 65,000 people.
Max Bupa, the health insurance JV between UK's Bupa and the Max Group said on December 7 it would invest over US$ 100.35 million in the next four years to expand its business. Max Bupa Health Insurance Chief Executive Damien Marmion said in the next 3-4 years the equity base of the company should be US$ 156.11 million.
Investment Policy
According to a guidance note released by IRDA, the regulator has increased the lock-in period for all unit-linked insurance plans (ULIPS) to five years from the current three years, thereby making them long-term financial instruments, which basically provide risk protection. The commission and expenses have also been reduced by evenly distributing them throughout the lock-in period. Moreover, IRDA said that insurers will provide a mortality cover or a health cover to all ULIPS, other than pension and annuity products, thereby increasing the risk cover component on them.
IRDA has ordered life insurers to offer customers a guaranteed return of 4.5 per cent per annum on pension and annuity plans.
In a move that would result in lower capital requirement for life insurers, the IRDA has asked them to initiate the process of calculating ‘economic capital’ from March 2010.

http://www.ibef.org/artdispview.aspx?art_id=28090&cat_id=801&in=40

Electronics, IT sector to need 3.2 million workforce by 2022: NSDC

Kolkata: The National Skill Development Corporation (NSDC) has estimated that the electronics and IT hardware industry will require an additional 3-3.2 million skilled employees till 2022 and 70% of them will be absorbed into manufacturing and servicing support. NSDC had engaged IMaCS (ICRA Management Consulting Services) for the study. It revealed that the electronics and IT hardware industry has the potential to grow at a compounded annual growth rate (CAGR) of about 17% till 2022 if we consider that the GDP will grow at the rate of 7.5% to 8% over this period. Production of electronics and IT hardware, during this period will increase from 84,400 crore in 2008 to 7,52,000 crore by 2022. Consumer electronics, computers, telecom equipment, and industrial electronics will contribute to a large portion of the size of the industry. "This will translate to the overall employment in the industry increasing from the current level of 0.9 million to over 4 million by 2022 -requiring incremental human resource requirement of about 3 million to 3.2 million ," the study said. About 1.5 million additional workforce will be required for manufacturing while another 0.6 to 0.7 million will be required for servicing and repairs. The study estimates that the consumer electronics industry will require an incremental 4,82,000 employee, while the industrial electronics industry will require another 4,61,000 by 2022. The computer segment will require 6,17,000, telecom equipment 5,75,000, strategic electronics 4,05,000 and components will require another 6,85,000 employees. The Economic Times : March 25, 2011

INDIAN MONEY IN SWISS BANK - MORE THAN THE REST OF THE WORLD

This is so shocking…. ….If black money deposits was an Olympics event…. India would have won a gold medal hands down. The second best Russia has 4 times lesser deposit. U.S. is not even there in the counting in top five! India has more money in Swiss banks than all the other countries combined!

Recently, due to international pressure, the Swiss government agreed to disclose the names of the account holders only if the respective governments formally asked for it.. Indian government is not asking for the details….. ..no marks for guessing why?

We need to start a movement to pressurise the government to do so! This is perhaps the only way, and a golden opportunity, to expose the high and mighty and weed out corruption!

Please read on……and forward to all the honest Indians to…..like somebody is forwarding to you…….and build a ground-swell of support for action ! Is India poor, who says? Ask the Swiss banks. With personal account deposit bank of $1,500 billion in foreign reserve which have been misappropriated, an amount 13 times larger than the country’s foreign debt, one needs to rethink if India is a poor country?

DISHONEST INDUSTRIALISTS, scandalous politicians and corrupt IAS, IRS, IPS officers have deposited in foreign banks in their illegal personal accounts a sum of about $1500 billion, which have been misappropriated by them. This amount is about 13 times larger than the country’s foreign debt. With this amount 45 crore poor people can get Rs 1,00,000 each.

This huge amount has been appropriated from the people of India by exploiting and betraying them. Once this huge amount of black money and property comes back to India , the entire foreign debt can be repaid in 24 hours. After paying the entire foreign debt, we will have surplus amount, almost 12 times larger than the foreign debt. If this surplus amount is invested in earning interest, the amount of interest will be more than the annual budget of the Central government. So even if all the taxes are abolished, then also the Central government will be able to maintain the country very comfortably.

Some 80,000 people travel to Switzerland every year, of whom 25,000 travel very frequently. ‘Obviously, these people won’t be tourists.. They must be travelling there for some other reason,’ believes an official involved in tracking illegal money.. And, clearly, he isn’t referring to the commerce ministry bureaucrats who’ve been flitting in and out of Geneva ever since the World Trade Organisation (WTO) negotiations went into a tailspin!

Just read the following details and note how these dishonest industrialists, scandalous politicians, corrupt officers, cricketers, film actors, illegal sex trade and protected wildlife operators, to name just a few, sucked this country’s wealth and prosperity. This may be the picture of deposits in Swiss banks only. What about other international banks ?

Black money in Swiss banks — Swiss Banking Association report, 2006 details bank deposits in the territory of Switzerland by nationals of following countries :
TOP FIVE

INDIA $1,456 BILLION
RUSSIA $470 BILLION
U.K. $390 BILLION
UKRAINE $100 BILLION
CHINA $96 BILLION

Now do the math’s – India with $1,456 billion or $1.4 trillion has more money in Swiss banks than rest of the world combined. Public loot since 1947:

Can we bring back our money ? It is one of the biggest loots witnessed by mankind — the loot of the Aam Aadmi (common man) since 1947, by his brethren occupying public office. It has been orchestrated by politicians, bureaucrats and some businessmen.

The list is almost all-encompassing. No wonder, everyone in India loots with impunity and without any fear. What is even more depressing in that this ill-gotten wealth of ours has been stashed away abroad into secret bank accounts located in some of the world’s best known tax havens. And to that extent the Indian economy has been stripped of its wealth. Ordinary Indians may not be exactly aware of how such secret accounts operate and what are the rules and regulations that go on to govern such tax havens. However, one may well be aware of ‘Swiss bank accounts,’ the shorthand for murky dealings, secrecy and of course pilferage from developing countries into rich developed ones.

In fact, some finance experts and economists believe tax havens to be a conspiracy of the western world against the poor countries. By allowing the proliferation of tax havens in the twentieth century, the western world explicitly encourages the movement of scarce capital from the developing countries to the rich. In March 2005, the Tax Justice Network (TJN) published a research finding demonstrating that $11.5 trillion of personal wealth was held offshore by rich individuals across the globe.

The findings estimated that a large proportion of this wealth was managed from some 70 tax havens. Further, augmenting these studies of TJN, Raymond Baker — in his widely celebrated book titled ‘Capitalism’ s Achilles Heel: Dirty Money and How to Renew the Free Market System’ — estimates that at least $5 trillion have been shifted out of poorer countries to the West since the mid-1970.

It is further estimated by experts that one per cent of the world’s population holds more than 57 per cent of total global wealth, routing it invariably through these tax havens.

How much of this is from India is anybody’s guess.