Job market blues for B-schools

Institutes reach out to more recruiters, adapt curriculum to align with demand

- ISHITA AYAN DUTT, SHINE JACOB & SANKET KOUL

The Indian business job market is under stress, and this is especially impacting entry-level positions and the placement experiences of B-school graduates. Both prestigious institutions and smaller management schools are feeling the effects as they adapt to the changing landscape of hiring and placements.

■Employers focusing on employability skills rather than solely academic credentials

■Learning management systems, virtual and augmented reality, gamification and microlearning hold key

■Industry-academia partnerships for curriculum co-development; joint research and innovation, cost-effective R&D

The Deloitte Campus Workforce Trends 2024 survey found that for the first time in five years, 2024 projected salaries for management students (MBAS) "are experiencing a drop of 5 per cent to 10 per cent across tiers". Consequently, "the expectation of salary by campus students is also experiencing a similar decline," it noted.

The Indian Institute of Management (IIM) Calcutta, which concluded its final placements for the flagship MBA programme in February 2024, told Business Standard that due to challenging market conditions, a lot more firms had to be reached out. It eventually recorded 100 per cent placements for its 464 students, who secured 529 offers from 194 companies.

On the current market situation, the institute said, "The last cycle was tough amid the challenging market condition. It would be too early to comment anything right now about the upcoming cycles."

Meanwhile, the Deloitte survey also found that the gap between entry-level salaries of MBA and BTech graduates, which was 102 per cent in favour of business graduates in 2021, has shrunk strikingly to 57 per cent in 2024.

Management institutes in Chennai, too, expressed concerns about the job prospects for their students in the 2024-25 batch, with the impact of the slowdown already evident in the 2024 placements.