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Notwithstanding fears of talent shortage in the country, India witnessed a 12 per cent growth in employment by privately-held businesses last year, with Bangalore leading the cities' tally, a latest report says.
According to the International Business Report by global consultancy firm Grant Thornton International, Vietnam tops the employment growth index 2008 with a 14 per cent rise in employment by privately held businesses, followed by India and China at 12 per cent each.
With double digit growth, Vietnam, India, mainland China and Armenia (11 per cent) top the employment growth table. Thailand (negative 4 per cent), Italy (0 per cent), France, Ireland and New Zealand (all one per cent) are at the bottom with a negative growth in employment.
Among the cities in India, Bangalore topped the list by 16 per cent growth in employment, followed by Chennai, Pune and Ahmedabad at 14 per cent.
Country's financial hub Mumbai and National capital Delhi showed a growth of only nine per cent each this year, the report stated.
"Developing Asia will account for two-thirds of rise in employment growth, with India alone making up 30 per cent of the net increase in global employment with 142 million new jobs by 2020," Grant Thornton India National Staff Partner Vinamra Shastri said.
The employment growth in Bangalore, Chennai, Pune and Ahmedabad is due to the higher concentration of human-capital among the IT/ITES industries in these cities, Shastri added.
Globally, employment in privately held businesses is up four per cent this year, which is a slight improvement from last year when it had grown by three per cent, the report said.
"It is good to see that employment increased this year, despite concerns about the credit crisis and the availability of a skilled workforce. Privately held businesses rely on their employees to survive in an increasingly competitive market," Grant Thornton International global leader of privately held business services, Alex MacBeath said.
The Employment Growth Index is formed from responses given in the Grant Thornton IBR. It is determined by calculating the absolute increases and decreases in employment reported by businesses and then calculating the year-on-year head count change as a percentage for each population as a whole.