THE days of job hopping and recruiting in batches are passé. The two side effects of recession have been -- freeze on hiring and reduction in attrition rate, finds a recent survey concluded by ASSOCHAM. “The managements have clamped down on the Human Resource (HR) professionals to reduce fringe benefits such as bonus, leave travel allowances, and other administrative costs,” says the survey.

In a seminar titled Challenges to HR Professional Post Slowdown conducted by ASSOCHAM, 90 per cent HR professionals said, “There is virtual ban on fresh recruitments in private sector as attrition rate has almost subsided in all sectors of economy, barring a few in the knowledge, banking/finance sectors.” The findings also suggests that managements across the sectors have advised a pay cut of 5 to 7 per cent for lower management, 10 to 15 per cent for mid and senior level and 25 to 35 per cent for promoters or proprietors.

Bloom amid gloom
HR professionals claim that banking, finance and business outsourcing sectors are still hiring as there is a revival in these sectors. On the contrary, manufacturing sector especially, steel and cement are not recruiting.

”The economic activity will pick momentum after the elections. The stalled projects would resume and fresh budgetary allocations would further boost the economy. The twin effect of these factors would be felt after the end of the fiscal 2009-10”, reports ASSOCHAM.

So, maybe it's not all bad news. There's certainly light at the end of the tunnel.

Read: Job loss? How to cope financially

Illustration: Abhijeet Kini

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