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Ahmedabad, Surat, Vadodara see massive decline in job creation; most Indian cities witness upward trend

By Our Representative
The new job generation in Ahmedabad has declined by a whopping 19 per cent during the first quarter (Q1) of the ongoing financial year (FY) 2013-14 as against the corresponding period last year, according to a just concluded analysis carried out by apex industry body ASSOCHAM. “Even Ahmedabad’s share in total number of new jobs generated across India has plummeted from over three per cent a year ago to just over 2.5 per cent, while Delhi-NCR (national capital region) has remained numero uno in new job generation with maximum share of over 27 per cent compared to other cities across India,” according to a sector-specific analysis titled ‘Job Trends Across Cities & Sectors,’ conducted by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).A total of over 3,100 new jobs were generated in Ahmedabad during the first quarter of the current financial year as against over 3,900 jobs in the Q1 of the last financial year, highlighted the ASSOCHAM analysis. With a share of over 29 per cent, the information technology (IT), information technology enabled services (ITeS) and hardware sector together accounts for maximum share in the new jobs generated across Ahmedabad followed by banking, financial services and insurance (BFSI) sector (18 per cent share), other manufacturing (nine per cent share), academics (six per cent share) and automobile, engineering and hospitality sector (each with four per cent share).
While sectors like retail, infrastructure, human resources (HR), fast moving consumer goods (FMCG) and others have lost their sheen with insignificant share in the new jobs generated across Ahmedabad. “A total of over 1,25,500 new jobs were generated across India during the first quarter of the current financial year,” said D.S. Rawat, national secretary general of ASSOCHAM while releasing the chamber’s analysis. However, the new job generation growth in India during this period has declined marginally by about two per cent as over 1,27,700 new jobs were generated during the corresponding period last year.”
“IT, ITeS and hardware together have garnered maximum sector-wise share of over 39 per cent in the total new jobs generated across India,” said Mr Rawat. “BFSI sector accounts for the second highest share of about 14 per cent followed by academics which accounts for over 11 per cent share.” While the sectors like real estate, hospitality, human resources (HR), FMCG (fast moving consumer goods), construction and engineering, automobile, telecom and other manufacturing each account for a share between 2-5 per cent.
Surat has also seen massive decline of about 38 per cent in new job generation and accounts for less than 0.5 per cent share in total job generation in India in Q1 of FY ’13-14. New job generation in Vadodara has also declined by about 37 per cent and the city accounts for less than one per cent share in total new jobs generated across India. The new job generation growth in Mumbai has also declined by a whopping 28 per cent during the aforesaid period and even the share of India’s financial capital in this regard has dipped from over 14 per cent a year ago to just over 10 per cent, highlighted the ASSOCHAM analysis.
Amid other tier 1 cities, Kolkata has seen a significant surge of over 19 per cent in the new job generation. While, Bangalore has seen a surge of about seven per cent. The number of new jobs generated in Chennai has seen a huge decline of over 21 per cent i.e. from over 10,200 jobs in the first quarter of the previous financial year to just over 8,000 jobs in the current financial year. While, the job scenario in Hyderabad has also taken a hit as the there has been a dip of about five per cent in the Y-o-Y growth of new jobs in the city.
“Overall, these numbers portray a dull job market owing to on-going global economic slowdown,” said Rawat. “Though the hiring trend activity has put up a dismal show during the first quarter of the current financial year, the industry is hopeful that job market will pick up second quarter onwards.” In the tier 2 category, Lucknow has registered massive growth of over 58 per cent in number of new jobs generated during the Q1 of FY 2013-14 as against the corresponding period of last year. Even Kanpur has seen huge surge in new job generation growth to the tune of over 53 per cent followed by Kochi which has seen over 45 per cent growth, Nagpur (27 per cent), Gandhinagar (17 per cent) and Jaipur (16 per cent).
While, tier 2 cities of Indore (23 per cent) and Bhopal (12 per cent) have seen significant decline in job creation. In the tier 3 category, Bhubaneswar has seen maximum surge of over 37 per cent in the new job generation followed by Raipur (32 per cent), Meerut (21 per cent) and Ranchi (10 per cent). While the tier 3 cities of Guwahati (48 per cent), Patna (29 per cent) and Amritsar (21 per cent) have seen a dip in job generation.
The ASSOCHAM team tracked the data on a daily basis for vacancies posted by over 3,000 companies on various job portals, advertisements in job supplements of national and regional dailies and news journals for 56 cities and 32 sectors offering employment opportunities across India.

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