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The economic gloom in the country has taken a toll on one of the best business management institutes with a substantial number of students yet to get placed. IIM Calcutta, the oldest IIM in India, has seen around 5% of its last batch still left with no jobs. The ratio is even worse in some of the newer IIMs. Shekhar Chaudhuri, director at IIM Calcutta, tells Digbijay Mishra that the economic slowdown coupled with a rising number of students has resulted in a muted hiring, but this will not result in the lowering student intake in the next batch. Edited Excerpts:
How bad is the hiring situation given that even the most reputed IIMs is not being able to deliver 100% placement?
There are a couple of things that we need to look at. We are still the best in the business, but this year the number of students is much higher and that has seen some students not getting placed. The 2012 batch strength was 352, which jumped to 462 in the 2013 batch. Also, the fact that the economy is still to gain momentum has fuelled the arrest of a hiring spree.
What are the main reasons behind the hiring slowdown?
A higher number of students and cautious approach by companies are the two primary reasons. I have also seen that many starters have rejected offers as it did not suit their future plan and the field they wanted to be in. Many such graduates are ready to wait a bit for the right opportunity.
If a higher number of students is one of the causes, would you consider slashing the size of batches in the coming years?
Slowdown is there, but we will not cut down on anything. On the contrary, we want to expand. We already have the best of facilities and faculty, but we will look to expand even further. There is a strong need for managers to be trained at IIMs for the betterment of the country.
Any particular sector that has been particularly picky about hiring?
Basically, it is the case with every sector, but especially investment bankers and some hardcore financial entities have been very restrictive as far as hiring is concerned and that has caused the arrest in the hiring growth.
