The recruitment party just got hotter. Multinational companies will dominate the tech hiring wave in India during the next three calendars, pushing local firms to the backseat.
The MNC are expected to hire 150,000 people in the country during 2007 against 60,000 recruitments that MNC and Indian companies cumulatively accounted for in 2006. MNC hiring, will more than double year-on-year for the next three years till 2009. This brings up a stark contrast as the domestic tech firms hired large volumes in 2004, 2005 and 2006.
Besides, a large number of MNC are waiting to enter India. Expect a lot of MNC hiring in the coming years.
Domain verticals give MNC the edge to win big, long-term deals, while top local firms chasing piecemeal buys. In the coming years, the principal hiring will be by established players capable of bagging big deals. Notwithstanding the diminishing cost arbitrage factor, India is becoming a attractive destination for MNC with shareholders prevailing upon the global companies to have a presence in â€œcritical geographyâ€? such as India because India is rich in multiple skills, technologies, domains and platforms.
MNC are set to edge out home grown companies from the campus perch too. A large number of MNC will close in on campuses to pick talent with job offers of 30% or more premium salaries which may be difficult to resist.
Does this hurt Indian firmsâ€™ hiring? â€œBlue-chip firms like TCS, Wipro, Infosys, Satyam, HCL, and Cognizant will clearly hire to support and continue their 30-50% year-on-year growth. Small and medium firms will bear the brunt, without being able to attract or retain talent.