Downward trends in placements
For several years now, campus hiring has served as the backbone of the hiring activity carried out by companies across India every year. From...
Hyderabad: For several years now, campus hiring has served as the backbone of the hiring activity carried out by companies across India every year. From Engineering to Management graduates, campus recruitment has been the single-biggest source of volume hiring across most sectors. From driving the IT boom to boosting the manufacturing revolution, campuses have been a steady pipeline for fresh talent.
- Tier-I institutes witnesses an average campus placement of 75%; while the number for Tier-II and Tier-III institutes was as low as 38%
- Campus hiring dropped by 23% in IT services, core Engineering roles saw a decline of 26%
- Companies offering higher packages of upto 35% to 40% for candidates specializing in niche and emerging technologies such as AI, machine learning, data science, robotics, augmented and virtual reality
However, this trend is seeing a reversal of sorts now. From the days of ‘100% placements’, most private Engineering and Management institutions are now finding it tough to get most of their students placed. Wisdomjobs.com,one of India’s leading end to end online recruitment and career solutions portals, released a Report “Campus Hiring in India – Evolving Trends’’.
Wisdomjobs.com reached out to over 120 companies and 50 educational institutions across Hyderabad, Delhi, Mumbai, Bangalore, Chennai, Kolkata and Pune to understand the hiring trends in the country and the reasons for the decline - particularly from Tier 2 & 3 institutes.
This survey covers companies from IT, E-Com, Retail, FMCG, Pharma and Automotive sectors and institutions offering Engineering and Management education.
While premier institutions like IITs and IIMs are still able to command hefty pay packages for their students, numerous private institutions are having to rely on job fairs and other such means to connect their students to companies.
What are the factors contributing to this decline in interest on the part of companies to pick their hires from campuses? From companies’ demands for multi-skilled or niche-skilled candidates to their focus on automating entry-level roles, and from the inability of institutes to implement curricula in line with industry needs to lack of qualified and industry-experienced faculty, there are several issues contributing to the decline in campus hiring by companies.
Some findings of the Survey Report
- While some of the premier and Tier-I institutes saw a slight increase in the number of students hired from their campuses, lower-tier institutes have seen a drop in campus hiring. Tier-I institutes saw an average campus placement figure of 75% while the number for Tier-II and Tier-III institutes was only 38%.
- On-campus fresher hiring has seen a drop of nearly 21% in Tier-II and Tier-III institutes over the last two years, and number of companies visiting these campuses has declined by nearly 30%.
- The drop in fresher intake from campuses by the IT sector and by start-ups in the last two years has significantly impacted campus placements of non-premier institutions.
- While hiring dropped by 23% in IT services, campus hiring for core Engineering roles saw a decline of 26%.
- With a general decline in fresher hiring from campuses, Tier-II and Tier-III institutes are also suffering from their lack of a brand name and big industry connects, which are key to attracting companies for campus placements.
- “Campus Hiring in India – Where is it heading” report by Wisdomjobs.com takes an in-depth look at these as well as some of the other factors that are contributing to a decline in campus hiring.
Focus on Multi-skilled and Niche-skilled Candidates
- Companies are increasingly looking for specific skills from candidates with the emphasis being on innovation and new-age technologies.
- They are shifting their focus from mass hiring from private engineering institutes to handpicking candidates for higher pay packages from premier Institutions.
Curriculum/Syllabus not in step with the industry’s needs
- Updates in syllabi across institutions is not keeping pace with the exponential changes in science and technology. Most non-premier institutes are not able to bridge the knowledge gap between what they teach their students, and what the industry demands.
- This results in students having to augment their knowledge through external courses or hiring companies having to put fresher hires through intensive training before they are ready for the job.
- Lack of opportunities for interaction with industry results in practical aspects being overlooked in favor of theoretical knowledge.
- Poor infrastructure often results in students not being exposed to the latest technologies and the practical aspects of utilizing those technologies on the job.
Shortage of faculty qualified to teach new-age skills and subjects
- Most non-premier institutions struggle to maintain the required faculty strength. Their inability and often unwillingness to pay industry equivalent salaries results in quality faculty migrating to the industry
- Nearly 60% of private institutions in the country are affected by a shortage of qualified faculty
“Companies are increasingly looking for specific skills from candidates with the emphasis being on innovation and new-age technologies like AI, machine learning, data science, robotics, augmented and virtual reality.
From companies’ demands for multi-skilled candidates to their focus on automating entry-level roles, and from the inability of colleges to implement curricula in line with industry needs to lack of qualified and industry-experienced faculty, there are several issues contributing to the decline in campus hiring by companies.”
Ajay Kolla, Founder & CEO Wisdomjobs.com