Hi Pradnya,
I would like to discuss the manufacturing sector.
In the manufacturing sector, the major focus is given to production rather than efforts. Here are the reasons for the high attrition rate in the manufacturing sector:
1. There are two boundaries working in the factory, one is white-collar and the other is blue-collar. There is a big gap between these two levels in terms of knowledge, skills, and attitudes.
2. Due to new MNCs arriving in industrial hubs like Pune, the culture is also changing and becoming similar to their parent company locations in the UK/USA, etc. People now seek to balance their personal and work life. If the company culture does not support this, there will definitely be a high attrition rate.
3. As IT companies are growing faster than the manufacturing sector, talent is moving from the manufacturing sector to the service sector. They are primarily attracted by high salaries and extra perks.
4. The manufacturing sector mainly invests in land, machinery, and other capital assets, limiting their budget for increasing salaries compared to the service sector. Therefore, employees are moving from manufacturing to the service sector.
5. Nowadays, the standard of living is increasing rapidly, and people are seeking pleasure and additional facilities. As a result, they are ultimately drawn towards higher salaries.
And lastly...
6. Of course, work pressure, inadequate services, and low increments due to slow growth in the manufacturing sector are causing people to move.
These are my general views. If you would like additional information, please let me know.
Regards,
Deep.