Over 60% Indian firms are downsizing or freezing hiring: Report
What's the story
A report by staffing solutions and HR services provider Genius Consultants has revealed that over 63% of Indian firms are either pausing hiring or downsizing their teams. The finding comes in light of rising geopolitical tensions, including wars in the Middle East. The study was conducted through an online survey with 2,006 employees across various sectors from May 12 to June 6.
Employment trends
Shift toward contract-based roles
The report also highlights a shift toward contract-based or freelance roles, with 15% of respondents noting this change as geopolitical tensions rise. Further, it was found that 36% of workers said their salary growth, bonuses, and appraisals are being affected by geopolitical instability. This indicates a direct impact on employee compensation due to external global events.
Work impact
Increased workload pressure and project timelines
The report also found that 21% of employees are facing increased workload pressure and project timelines due to these geopolitical tensions. Further, 22% of respondents said their global business exposure or travel has been disrupted by these events. This shows how global conflicts can affect not just hiring practices but also day-to-day operations in Indian workplaces.
Employee sentiment
Team morale and job confidence taking a downturn
The report revealed that 21% of employees feel their team morale and job confidence are taking a downturn due to geopolitical instability. The study further found 30% of employees are extremely worried about these developments, while another 26% are mildly concerned and monitoring the situation.
Response
Employees are exploring new job opportunities
In light of these developments, the survey found that workers are taking action. A majority (55%) of respondents are upskilling or taking part in new certifications, while 31% are exploring new job opportunities or backup roles. This shows a proactive approach from employees in response to the changing job market due to geopolitical tensions.