NEW DELHI: Even as the hiring picks up in metro cities in the country owing to festive demand, the joblessness rate continues to rise in rural India. Hiring in India grew by 43% year-on-year (Y-O-Y) in October 2021, according to the latest Naukri JobSpeak report.
The Centre for Monitoring of Indian Economy (CMIE), however, says India’s unemployment rate spiked to 7.75% in October from 6.86% a month ago.
The CMIE data shows, while urban joblessness rate fell to 7.38%, lowest in three months, the rural joblessness rate rose to its four-month high of 7.91% in October.
Growth of the IT-software/software services sector has enabled metro cities to outperform their tier - II counterparts in the annual growth charts, the Naukri report says.
The average Y-O-Y growth recorded in metro cities was 59% whereas non-metros grew at a slower pace of 30%, it shows.
Demand for tech professionals witnessed a whopping 85% Y-O-Y growth in October 2021.
This demand in metros is driven by the upcoming launch of 5G coupled with the government’s production linked incentive scheme (PLI) and the recent relief packages for the sector.
Yeshab Giri, Chief Commercial Officer, Staffing & RT Professionals, Randstad India, says the rise in urban employment is due to an increase in demand for temporary and permanent staff to meet seasonal demand for a busy festive season across sectors like e-commerce, logistics, start-ups and food & beverages.