Biz Staffing Comrade Pvt Ltd, a renowned name in the HR realm which provides a wide range of recruitment and selection services to diverse companies released the results of its survey held at the HR Conclave – Biz Connect 2024 recently. This specially curated event brought together top talent acquisition and HR leaders from across industries and consisted of multiple sessions with varied themes. This pivotal gathering illuminated the profound challenges and emerging opportunities that are redefining the future of HR. The event was moderated by Nathan S.V, former Chief Talent Officer at Deloitte India, a highly accomplished HR professional with a remarkable track record.
During the event, several questions were posed to the HR leaders to gain insights into their views on various strategic topics. More than 30 HR leaders participated in the survey. The survey aimed to understand the current and future state of the HR landscape. While the majority of HR leaders (62%) expect moderate growth this financial year, indicating steady expansion across various sectors, a smaller segment (8%) is anticipating substantial job creation, particularly in thriving industries. This optimistic outlook is largely driven by the rapidly evolving tech sector, where innovations and digital transformation are fuelling a heightened demand for skilled professionals. However, 15% of leaders are bracing for a potential downturn, influenced by economic uncertainties and global trends. Additionally, 15% foresee a stable job market, reflecting a cautious optimism amidst these varied predictions. This complex landscape highlights the necessity for businesses to implement agile strategies to effectively navigate India’s evolving employment scenario in the country.
However, this growth narrative is tempered by the complexities of performance management and compensation. The appraisal landscape is particularly nuanced. While 43% of leaders mentioned that their organizations have maintained the status quo, a significant 22% have reported significantly better appraisal outcomes and 14% reported slight improvement in the appraisals, indicating a positive shift towards more effective performance evaluation systems. Conversely, 14% and 7% have reported worse and significantly worse outcomes respectively, highlighting the challenges faced by these organizations in accurately assessing and rewarding employee performance.
Compensation strategies are equally nuanced. The survey reveals a wide range of salary adjustments, with 54% of the top leaders reported their organizations offering increments between 5% and 10%, and 38% providing increments between 10% and 15%. While these figures indicate a commitment to employee welfare, the 8% of leaders reported companies offering increments below 5% are treading on perilous ground. In a tight labour market, competitive compensation is crucial for attracting and retaining top talent. These organizations risk losing valuable employees to competitors offering more lucrative packages.
Furthermore, other findings from the survey indicate that the predicted surge in AI and Machine Learning has created a dual-edged challenge: immense opportunity and acute talent scarcity. Jasvinder Bedi, Managing Partner, of Biz Staffing Comrade Pvt Ltd, stated “To bridge this talent gap, organizations are implementing a multifaceted approach, including upskilling their workforce, tapping into referral networks, and expanding recruitment horizons to less saturated talent pools such as tier II and tier III cities.”
Puneet Arora, Managing Partner, Biz Staffing Comrade Pvt Ltd said, “The Indian job market is set to navigate a multifaceted path as we move forward. While this inclusive strategy is commendable, it is imperative to complement these efforts with robust training and development programs to ensure employees are adequately equipped to excel in these cutting-edge roles.”
Aditi Rana, Growth Partner at Biz Staffing Comrade Pvt. Ltd, sharing her sentiments about the current scenario said, “The road ahead is undoubtedly challenging, but it also presents immense opportunities. Organizations that can successfully adapt to the changing dynamics of the workforce, invest in employee development, and create a culture of innovation will emerge as leaders. The key to success lies in building a resilient and adaptable workforce, equipped with the skills and mindset to thrive in a rapidly changing world.”
The confluence of economic uncertainty and technological acceleration has transformed the HR landscape into a complex and dynamic terrain. Overall, the survey findings highlight the critical role of HR in navigating these turbulent waters. It’s no longer sufficient to be a mere administrative function; HR must evolve into a strategic partner. By understanding the evolving talent landscape, anticipating future trends, and implementing data-driven strategies, HR leaders can create a competitive advantage.