Indian Employees Eyeing Career Changes Despite Growing Unemployment Rate
For a populous country like India, unemployment has been a persistent issue. However, despite the problem of unemployment in the country, 26 per cent of the Indian employees were found to be at risk of leaving their jobs in the coming year, an unusual finding reported by the latest BCG survey.
Commenting on the study, Apurv Agrawal, co-founder and CEO, SquadStack said, “This noticeable shift is because employees now prioritise not just salary, but also accountability, flexibility and a nurturing work culture that treats people with respect and kindness.”
The reported opinion of employees is surprising as the Centre for Monitoring Indian Economy (CMIE) report for July suggested that the overall unemployment rate in India stood at 7.95 percent as of July 2023 following the fluctuations across different regions and sectors.
Employees' choices today revolve around the quality of talent and job satisfaction and Neetu Chitkara, MD & Partner & People & Lead of Organizational Practice, BCG India urges prioritisation of healthy working environment. She said, “There is an urgent need for employers around the world to help their employees find the right balance between functional drivers such as pay and job hours, versus emotional factors such as workplace respect, fairness, and recognition.”
In this era dominated by Gen Z, often referred to as the 'great resignation generation,' there is an increased inclination among employees to explore job changes. This trend is substantiated by a LinkedIn report, indicating that Gen Z individuals exhibit a higher job-switching rate, standing at 134 per cent, in comparison to millennials at 24 per cent and boomers at 4 per cent.
Felix Kim, CEO & Co-founder, Redrob said to retain employees, companies should invest in their upskilling, providing them a clear career trajectory. He emphasised another efficient method would be investing in their financial education and insurance plans, so that employees with families can plan long-term growth at the company.
Organisations Need To Invest In Great Managers
Weighing in on the BCG survey, Amandeep Kaur, founder & CEO of Phoenix TalentX Branding said, “The study found that great managers are associated with a 72 per cent reduction in attrition.” She underscored the importance of fostering exceptional managers, supportive leadership, and equal opportunities within Indian organisations. This, she emphasised, is crucial not only for retaining key talent but also for enhancing a sense of inclusion and motivation among the staff.
“The organisations should invest more to enhance their working space to retain their working talent,” Kaur added.
Delphin Varghese, co-founder and chief business officer, AdCounty Media said, “With nearly a quarter of the employed population planning to leave, companies have to shift beyond transactional interactions, implementing a valuе-drivеn strategy to stem the flow.”
While employees opting to change jobs for personal development appears to be a reasonable trend, the broader outlook for India's unemployment paints a contrasting picture over the past 15 years, according to data from CMIE. The unemployment rate has shown a consistent increase year by year, reaching 7.33 per cent last year and escalating to 10.05 per cent as of October this year.
