In the wake of ongoing layoffs making headlines, the landscape of job security is evolving rapidly. While layoffs can stem from various factors, including performance issues, they predominantly reflect the shifting dynamics of business operations and market demands. Let’s delve into the segments most vulnerable to job risks based on insights from industry experts.
Core Functions Remain Resilient
In times of economic turbulence, companies prioritize retaining employees crucial to core operations and revenue generation. Support functions often bear the brunt of layoffs, while revenue-generating roles typically remain more secure. Sanjay Shetty, Director at Randstad India, notes that recent layoffs primarily aim to restructure workforces in alignment with evolving business objectives.
Adapting to Economic Realities
Economic challenges, such as high inflation, have prompted companies to scrutinize costs meticulously. Mayur Taday, Chief Business Officer at TeamLease Services, highlights the intense focus on cost optimization amidst narrowing margins. Uncertainties arising from geopolitical tensions and supply chain disruptions have further compounded challenges, particularly for IT companies banking on better days.
Vulnerable Job Roles
Certain job roles are inherently more susceptible to layoffs:
Automation-Prone Roles: Routine tasks that can be automated, such as data entry and basic coding, face heightened risks. Rishi Patil, Founder of Executive 81, underscores the threat posed by technologies like ChatGPT in rendering such roles redundant.
New Initiative Roles: Positions associated with new initiatives are at risk during lean periods unless companies actively pivot into these areas.
Overpaid Hires: Those receiving salaries significantly above market rates are under scrutiny, given the current imbalance between demand and supply.
Contractual Workers: The seasonal nature of contractual jobs may render such workers vulnerable to downsizing.
Hiring Amidst Layoffs
Despite the prevailing layoffs, hiring continues across various sectors, driven by factors such as digitization and service sector rebounds. Tech companies, in particular, are expected to ramp up hiring, with a significant uptick anticipated in the IT sector. According to Saumitra Chand from Indeed, demand for talent is also surging in non-tech sectors like healthcare, construction, and marketing.
Embracing Adaptability
In conclusion, the employment landscape is undergoing rapid transformations. Individuals must remain relevant to the evolving paradigm to mitigate job risks. While layoffs reflect the current economic challenges, opportunities for growth and adaptation persist, emphasizing the importance of agility and skill alignment in navigating the evolving job market.
