Banking unaffected by slowdown

Doomed: Lehman Brothers that used to recruit students did not turn up at campuses this year.

Subroto Roy finds that some few sectors that have not been affected by the ongoing global recession and economic slowdown. While the automobile, IT and real estate industries have taken a beating, companies in finance, insurance and banking are still hiring people.

WHILE employees at automobile, information technology and real estate industries have been spending sleepless nights, recruitments in finance and banking sectors this season have left students something to cheer about. Interestingly, public and private banks and the insurance sector are recruiting as usual.

S B Muzumdar, founder president of Symbiosis Society, expressed surprise at the increase in recruitment activity by companies in these sectors. "Around 20 per cent more students were recruited by banks and finance sector," he said.

Principal of Brihan Maharashtra College of Commerce (BMCC), A B Deshpande, said the US slowdown had left the Indian finance and banking sectors unaffected. "Yet, they are taking advantage of this situation and offering less pay packages," he added.

Deshpande was glad that the public sector banks had plans to recruit 15,000 people this year. "Despite this, the insurance sector is going to be the biggest recruiter this year," he pointed out.

According to Muzumdar, finance and banking giants like Lehman who used to recruit from his institutes obviously did not turn up this year. "It is the public sector banks, smaller and larger finance companies and insurance companies that are recruiting," he said.

Deshpande, too, said that at least five insurance companies had already visited their A Grade NAAC accredited campus while the recruitment season had just began and will go on till February. "Last year they picked up around 70 students which not expected to change this year," he added.

Taking advantage of the panic among students due to the financial crisis, the companies are offering thinner pay packs. "Students are taking up jobs at any salary they are offered," Deshpande said, but added that the figures would improve next year.

Tarita Mehandale, chief of Indira Group of Institutes echoed a similar view. She added that new sectors like the organised courier and consulting firms recruiting MBAs this year.

The FMCG and the food sector, too, seems to be unaffected. Although, new and small companies were offering 20 to 40 per cent less salaries.

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