Trends in the Recruitment and Job Placement Market in India, April-June 2024

＜Market Overview in India＞

In April 2024, India's general elections, held every five years, were conducted, involving the participation of 1.4 billion citizens, making it a grand event. The incumbent Bharatiya Janata Party (BJP)-led coalition maintained its majority, securing Prime Minister Modi a third consecutive term. While the economy is improving, continuing the "Make in India" initiative and creating jobs remains a significant challenge.

＜Local Hiring Trends among Companies in India＞

With Prime Minister Modi's re-election, India's economic growth rate is expected to steadily approach 8%. The manufacturing sector, in particular, is seeing an upward trend in hiring, driven by increased direct investment and a robust economy. The rise in new market entries and factory expansions has led to the creation of additional manufacturing lines and organisational strengthening, resulting in noticeable recruitment activity.

However, following the annual salary increment period, many companies face challenges as employees leave in pursuit of higher salaries elsewhere. This has forced companies to engage in recruitment activities not just for expansion but also to replace departing employees, leading to business disruptions in some cases.

＜Job-Seeker Trends in India＞

In the local hiring market, candidates become more active in job searching after the April evaluation period. This is a challenging time for companies as candidates compare their current salary increments with those offered by potential employers, seeking better conditions.

For Japanese job seekers, the number considering overseas employment has increased compared to the previous year. However, their focus is not solely on India; they are also exploring other countries, carefully evaluating salaries and the experiences they can gain from working abroad. This thoughtful approach means they take their time to find a satisfactory job opportunity.