Mfg sector may churn out 3 million jobs

Amid revival in the job market, nearly 30 lakh jobs are likely to be created by the manufacturing sector this year driven by an overall rise in demand and the growing confidence of companies, experts said.

With the corporate sector regaining confidence and embarking on expansion drives, their hiring plans have also gained momentum.

According to leading Recruitment Process Outsourcing firm Elixir, the manufacturing sector is expanding and has brought in higher demand for experienced professionals in the sector to manage operations.

"At the current growth rate, close to 30 lakh jobs across levels will be created this year and by 2015 the working population in the manufacturing sector is predicted to grow by 2.8 crore," Elixir Associate Vice President Preeti Singh said.

"The growth is driven by overall increase in demand, especially in power and focus on new sectors for employment like defense manufacturing. The way firms have opened up their hiring in the current fiscal is very encouraging," Singh said.

Global consultancy KPMG's Business Outloook survey recently stated Indian manufacturers are now more optimistic about growth in business activities in the year ahead, with output and new orders expected to see a considerable increase.

"India has set its sights on becoming a global manufacturing hub and seems well on its way to achieve this aim. Productivity is improving, as its quality, with a large number of Indian manufacturers now holding their own in terms of quality comparisons with their Asian competitors," KPMG India Advisory Head Richard Rekhy said.

Elixir's Singh said power equipment manufacturing and construction related manufacturing like cement and metals have seen a huge surge with increased growth in the power sector and setting up of new plants.

Defense manufacturing has also opened up several new employment avenues, while the impetus given by the government is also acting in favour of the sector.

An Elixir report stated hiring mandates for junior and middle level staff in manufacturing sector jumped 220 per cent in January-March quarter, while senior level hiring picked up in the April-June period this year.
    
The Index of Industrial Production (IIP), on the back of 12.3 per cent growth in manufacturing and 34.3 per cent jump in capital goods sector, recorded an increase of 11.5 per cent in May, up from 2.1 per cent the same month a year ago, according to government data.