Job Market on Thin Ice: Geopolitical Tensions Freeze Hiring Across Indian Workplaces

Indian Workplaces Hit by Recruitment Freeze Amid Geopolitical tensions

A new survey shows that 63% of Indian businesses have put hiring on hold or are laying off staff as rising geopolitical tensions—particularly the Middle East wars—are causing tremors in the nation's job market. Genius Consultants' 2,006 industry-wide employee survey conducted between 12-6 June outlines a bleak picture of how outside disruptions are reforming in-house work arrangements at a record rate.

 

Hiring Freeze and Downsizing

63% of companies have ceased hiring or even laying off staff because of global uncertainty.

 

Transition to Contract Positions:

15% of companies are shifting towards contract or freelance work, which is in line with increasing demand for flexible work amid uncertainty.

 

Impact on Salaries and Incentives:

36% of employees indicated that their performance review, bonuses, or pay raise have been negatively affected by geopolitics.

 

Additional Workload and Disrupted Projects

21% mentioned increasing pressure on workload and shrinking project timelines. Exposure to international business and business travel are also being impacted for 22% of the respondents.

 

Decreasing Morale:

21% of workers reported that job confidence and team morale are deteriorating, with 30% reporting that they are extremely worried and already seeing early warning signs.

 

Employee Response:

55% are upskilling or acquiring new certifications, and 31% are creating new careers or fall-back roles to secure their career.

 

Leadership Perspective:

R P Yadav, MD and Chairman of Genius Consultants, noted, "The external environment is altering in-work realities faster than anticipated. With 63% of organizations freezing or reducing and workers proactively upskilling or looking for alternatives, we are on the brink of a new work era.". This blanket hiring moratorium and change in office dynamics are reflective of the far-reaching effects of global trends on India's corporate scene, forcing employees and employers alike to keep pace. 

 

Source: The Economic Times, NDTV, Rediff Money, Devdiscourse.